Tax Software Discrepancy: H&R Block vs TurboTax - $500 Difference?
According to IRS Publication 17, tax preparation software should yield nearly identical results when given the same inputs. Yet I'm looking at a $500 discrepancy between H&R Block and TurboTax for my 2023 return 🤔 💠I'm in the process of amending my return and decided to cross-check between platforms before filing. Per IRC Section 6402, I'm entitled to the correct refund amount, but which one is actually correct? Has anyone else experienced significant variances between tax software platforms? The difference seems to be related to how they're calculating my education credits, but both claim to follow IRS guidelines.
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Anna Xian
Been there, done that, got the audit letter to prove it! Last year I had a $680 difference between two tax programs. Turns out they were handling my student loan interest differently. One was applying it as an adjustment to income while the other was treating part of it as a credit. I spent hours on hold with the IRS trying to figure it out. What I learned: these programs ask questions in different ways and sometimes interpret your answers differently. Go through both step by step and look for where they diverge - usually it's in how credits are being applied or deductions are being categorized.
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Jungleboo Soletrain
•This is really helpful context. I've used multiple tax software programs over the years and have seen similar issues. In my experience, the difference often comes down to how the software guides you through certain sections. Sometimes one program will ask more detailed questions that uncover additional deductions the other missed completely.
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Rajan Walker
•I compared 3 different tax programs last year and found a $437 difference between the lowest and highest refund amounts. After carefully reviewing each one, I discovered the highest refund was actually missing a $1,200 income source I had forgotten to enter. So the lowest refund was actually the correct one! Definitely worth taking the time to compare line-by-line.
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Nadia Zaldivar
•Makes me nervous. What if both are wrong? IRS could still come after you. Even with software guarantees. They only cover their calculation errors. Not input mistakes. Might need a professional review.
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Lukas Fitzgerald
Have you checked if both software programs are looking at the same filing status? It's like going to two different doctors and getting two different diagnoses - you need to make sure they're working with the same patient information. Sometimes one program assumes Head of Household while another defaults to Single, and that alone can be worth hundreds in tax differences.
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Ev Luca
I had this exact issue on March 15th when I was preparing my parents' taxes. H&R Block showed $430 more than TurboTax, and I spent April 2nd through April 8th trying to reach someone at the IRS to explain the discrepancy. Complete waste of time with their phone system. Finally used Claimyr (https://www.claimyr.com) on April 9th and got through to an actual IRS agent in under 30 minutes. The agent confirmed it was likely due to how education credits were being applied and walked me through which forms to check. Saved me days of redial frustration and helped identify the correct calculation.
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Avery Davis
According to the IRS website's comparison tool (https://www.irs.gov/tax-professionals/choosing-a-tax-professional), different software platforms can produce different results based on how they interpret tax law. I've seen this especially with education credits like the American Opportunity Credit and Lifetime Learning Credit. TurboTax tends to be more aggressive with certain deductions while H&R Block is sometimes more conservative. You should download the actual tax forms from both and compare line by line to see where the difference is occurring.
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Collins Angel
•I'm so relieved to see this explanation. I thought I was doing something wrong when I got different results. Going to check those specific education credit forms now.
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Marcelle Drum
•Have you noticed if one platform consistently gives higher refunds than others? Is there a pattern to which types of credits or deductions show the biggest variations between software platforms?
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Tate Jensen
Could it be that one software is including state taxes and the other isn't? Or maybe one is calculating some kind of education credit that the other missed? Have you gone through each section step by step to see where the difference is? Did you check if both are using the same tax year updates?
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Adaline Wong
•This happens a lot. Different software asks different questions. Some make assumptions. Others don't. Education credits are complicated. Need to check Form 8863 in both returns. Look at qualified expenses entered. Check income phaseout calculations too.
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Gabriel Ruiz
I solved a similar mystery last month! 😂 Had a $750 difference between FreeTaxUSA and TurboTax. Turns out I accidentally entered my 1098-T information twice in one program but correctly in the other. The funny thing is, neither program flagged it as unusual! My suggestion: print out the full forms from both and do a line-by-line comparison. It's tedious but worth it - you'll either find the error or have documentation to support whichever version you decide to file.
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Misterclamation Skyblue
•Did you end up having to file an amended return? I'm wondering if it's better to just go with the lower refund amount to be safe or if I should claim what I think I'm entitled to.
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