I received a letter from IRS this summer (2017) telling me that I had not paid taxes on my retirement income for 2015. I remembered entering the data from my 1099R when I filed my 2015 taxes, but it was not there in my return. Unfortunately, I had not checked the arithmetic myself so I had not noticed the error. When I filed my 2016 taxes, it was easier to enter the 1099R data because the software remembers the payer information and prompts you to fill out the form. When I contacted FreeTaxUSA about the error on my 2015 taxes, the support person insisted that I had failed to enter my 1099R. Now, I had to pay the federal taxes plus interest, amend my 2015 federal and state forms (for a fee), and pay additional state taxes. The refunds I received in 2016 for my federal and state taxes were greater than the amount I had to pay after recalculating. I had used FreeTaxUSA since 2012, but now I cannot trust them.
Hi Christine, thanks for writing and I sincerely apologize for the frustration. We guarantee the calculations made by the software to be 100% accurate based on the information entered and would be happy to look into this further. Will you please private message your email address?