DIY Products

DIY Products

Whether you’re an experienced do-it-yourselfer or doing your own taxes for the first time, this is your place to learn and share. Here you’ll find information and resources for using H&R Block’s online and software DIY solutions. You’ll also find links to more information to assist you on your DIY journey.

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Trusted Pioneer
Posts: 8
Registered: ‎03-19-2017
Accepted Solution

why is my federal and state not free in HR Block as advertised

[ Edited ]

Hi

 

I'm filing my taxes through HRBlock website. It advertises that fed & State returns are free

My tax situation is income over 130K, Have employer contributed HSA(which is already in W2 form section 12 code 'W' but $0 from my contributions), and an IRS interest for 2015 taxes.

 

When I complete my taxes, it shows Fed is $54.99 and state is $39.99. Just to note that the checkout screen shows 'Deluxe Federal  Return' and 'Deluxe state return'. What did i enter extra that made my returns deluxe?

But the advertisement says both are free

 

Am I missing something?

Please advice.

 

Thanks

 

Trusted Pioneer
Posts: 8
Registered: ‎03-19-2017

Re: why is my federal and state not free in HR Block as advertised

[ Edited ]

Hello All

 

There's no way to downgrade to basic online, I've called HRBlock customer care and asked them to downgrade to BASIC.

 

All the data is erased now, so I've entered again.

 

Now, I have few issues

1. I don't have any contributions or withdrawls to my HSA account in 2016. Only my employer contributed to my HSA account which is already in W2 section 12 code 'W'

2. My income is over 100K

 

While entering the returns, it gives me the following warnings

Issue 1 of 2
You told us you have a Code W in Box 12 of one of your W-2s. This means you have Health Savings Account (HSA) and will need to visit Adjustments & Deductions to complete the HSA section of your return

 

Issue 2 of 2

Since your taxable income is more than $99,999, you'll need to use H&R Block Deluxe to prepare this year's taxes.

 

And for this, it asks me to upgrade to deluxe.

 

Since I didn't have any contributions or withdrawls, Can i ignore warning 1?

Is there a way to file my taxes for free given that the income is over 100K?

 

Thanks

Trusted Pioneer
Posts: 8
Registered: ‎03-19-2017

Re: why is my federal and state not free in HR Block as advertised

hello

 

I sorted this out using other questions - here's the answers to the above - just in case someone is looking at it

 

1. You need to file form 8889 irrespective of your contributions/withdrawls if you have HSA account

2. Ignore and download forms, attach other forms like 8889 which doen'st come with basic version, and mail to IRs

Tax Pro
Posts: 5,088
Registered: ‎02-23-2016

Re: why is my federal and state not free in HR Block as advertised

Hi kiransaravi,

 

As much as I hate to be the bearer of bad news, you cannot mail Form 8889 separately from your tax return.  Doing so will result in a letter from the IRS about two months from now instructing you to amend your tax return to include the Form 8889.

 

You are however correct that if you have a health savings account you cannot use the free file version of the software.  Your lowest cost option is going to be Deluxe.