Turbo Tax Bugs - Quicken Import of Estimated Tax Payments
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From: Walt Bilofsky on 17 Mar 2010 18:18 If you import data into Turbo Tax from Quicken, and pay estimated taxes, you should check, and will probably need to fix, the imported data on the Tax Payments Worksheet. When importing estimated tax payments, Turbo Tax can cost you money in two ways. GOTCHA #1: ESTIMATED TAX PAYMENTS IN JANUARY. Turbo Tax 2009 will not import estimated tax payments made after December 31, 2009. Most people required to pay estimated tax will make a payment in January 2010. If you don't enter the January payment by hand on the Tax Payments Worksheet, Turbo Tax will overstate the tax due (or understate your refund). GOTCHA #2: LATE ESTIMATED TAX PAYMENTS. When importing from Quicken, Turbo Tax 2009 treats any payment made after the due date as if it were made on the following due date. For example, I made an estimated tax payment on 6/17/09 (two days late), and another one on 9/15/09. When the data is imported from Quicken, Turbo Tax dates both payments 9/15/09, and it asks whether to disregard one or to combine them. Even if I accept both payments, it still dates them both as of 9/15/09. This may result in Turbo Tax computing an unnecessary or excessive penalty for underpayment of tax. It is necessary to fix this error by hand. The first gotcha has been around for many years. The second is a new one AFAIK. - Walt Bilofsky |