How do I avoid paying TurboTax fees?

Answered by Tom Adger

To avoid paying TurboTax fees, I found it helpful to change my payment method and pay with a card when filing. This way, I didn’t have to worry about any additional charges or fees. Let me share my experience and provide some steps to help you avoid these fees as well.

1. Choose the right TurboTax version: TurboTax offers different versions, including a free option for simple tax returns. Make sure to select the version that suits your needs and avoid unnecessary fees.

2. Opt for the Free Edition: If your tax situation is fairly straightforward, you can use TurboTax’s Free Edition. This option covers basic forms and is available for federal tax returns. However, additional fees may apply for state returns or more complex situations.

3. Pay attention to hidden fees: TurboTax may charge additional fees for certain services or features, such as live advice or expert review. Be mindful of these extra charges when selecting the options you need. Carefully review the pricing details before finalizing your purchase.

4. File early: TurboTax often increases its prices as the tax deadline approaches. By filing early, you can take advantage of lower prices and potentially avoid any last-minute fees.

5. Utilize TurboTax promotions and discounts: TurboTax frequently offers promotions and discounts throughout the tax season. Keep an eye out for these deals to save on fees or even get a discounted version of the software.

6. Change your payment method: Typically, TurboTax charges fees when you choose to have the fees deducted from your tax refund. These fees can be avoided by changing your payment method and paying with a card when filing. This way, you can bypass the refund processing fees.

7. Consider using the IRS Free File program: If your income is below a certain threshold, you may qualify for the IRS Free File program. This program allows eligible taxpayers to use popular tax software, including TurboTax, for free. Check if you meet the requirements and take advantage of this option to avoid any fees.

By following these steps, I was able to avoid paying TurboTax fees and save some money in the process. Remember to carefully review the pricing details, select the appropriate version, and consider alternative options like the IRS Free File program.