NY Taxpayers Face TurboTax Glitch; Fix is Coming

Some New York taxpayers are running into an unexpected roadblock this tax season. I can tell you firsthand, because I was one of them!

Users of TurboTax report they are currently unable to electronically file their New York State tax returns due to "a software issue" affecting the popular tax-filing platform. According to reports, the problem stems from last year’s New York State inflation refund checks, issued to millions of residents as part of a one-time economic relief program.

According to multiple reports, TurboTax has temporarily blocked certain New York state filings while it works to correct how those refund payments are calculated within the system. As a result, some users attempting to submit their state return are seeing error messages or notifications saying the return cannot be filed at this time.

TurboTax has now started issuing messages to New York tax filers with an expected fix rolling out on Feb. 12. Those who were rejected are encouraged to re-file electronically then or in the mean time you can print out and send your tax return by mail.

TurboTax’s parent company, Intuit, has acknowledged the issue through customer support channels, saying a software update is needed before affected returns can be accepted.

It’s important to note that this issue does not appear to affect federal tax returns, which can still be filed as normal.

New York taxpayers are encouraged to monitor their TurboTax account for updates or consider alternative filing methods if they need to submit their state return sooner; paper filing remains an option.

WPDH will continue to follow this story and provide updates as more information becomes available.