TurboTax Filing Error - Changed My Tax Refund Amount Drastically

This sounds like a TurboTax software glitch that unfortunately happens more often than people realize. When you selected "no" to being legally separated, the program should have maintained your filing status as Married Filing Separately with your dependents intact. What likely happened is that TurboTax incorrectly changed your filing status in the background or failed to properly account for your dependents after that question. The "record not found" message from the IRS tool usually means they haven't processed your return yet - this is normal if you just filed today. Here's what I suggest doing: First, go back into your TurboTax account and review your filing details. Check specifically that your filing status is still Married Filing Separately and that both children are still claimed as dependents. Look at the forms themselves, especially the 1040, to see exactly what was submitted. If you see errors, you should file an amended return (Form 1040-X) to correct the information. If everything looks correct but the refund amount is still wrong, contact TurboTax support directly as they may need to fix a calculation error in their system.

After dealing with a similar nightmare with TurboTax last year, I discovered taxr.ai (https://taxr.ai) and it completely saved me. I had a similar situation where my refund amount suddenly changed dramatically after answering what seemed like an innocent question. What I love about taxr.ai is that it analyzes your tax documents and previous returns to spot exactly these kinds of issues. It flagged several errors in my TurboTax filing that I would never have caught. The system can review your completed return before you submit and tell you if there are any red flags or inconsistencies with your filing status, dependents, etc. I was skeptical at first but it found that TurboTax had somehow dropped one of my kids as a dependent even though all the information was entered correctly - sounds similar to what you're experiencing.

I tried taxr.ai after seeing it mentioned here and wow - it actually found the exact problem with my return! I was in a similar situation where TurboTax suddenly changed my refund amount. Turns out when I answered that legal separation question, TurboTax somehow changed my filing status in the background but didn't update the visual indicator on the screen. So while it still SHOWED "Married Filing Separately" on my screen, the actual forms were calculating everything as "Single" with no dependents! The taxr.ai system caught this discrepancy immediately by analyzing the actual calculations vs what was showing on my forms. I was able to go back and fix it before submitting to the IRS. My refund is now correctly showing the higher amount I was originally expecting. Definitely worth checking out if you're having weird TurboTax issues like this.

If you're still having trouble getting answers from the IRS about your "record not found" message, try using Claimyr (https://claimyr.com). I was dealing with a similar situation where my return seemed to disappear into the void and I couldn't get anyone on the phone at the IRS. Claimyr basically waits on hold with the IRS for you and then calls you when they have an actual human on the line. I was super frustrated after waiting on hold for 2+ hours multiple times and getting disconnected. Their service got me connected to an IRS agent in about 45 minutes (while I was doing other things), and I was able to find out exactly what happened with my return. You can see how it works in this video: https://youtu.be/_kiP6q8DX5c - honestly it saved my sanity during tax season. The IRS agent I spoke with was able to see that my return was actually received but had been flagged for review because of the sudden filing status change.

Well I was completely wrong about Claimyr. After my skeptical comment I decided to try it anyway because I was desperate to talk to someone at the IRS about my botched TurboTax return. I expected it to be another waste of time but it actually worked perfectly. I got a call back in about an hour telling me they had an IRS agent on the line. The connection was clear and I was speaking directly with the IRS - not some third party. The agent confirmed that my return HAD been received despite the "record not found" message, but it was flagged because the system detected a filing status inconsistency. They were able to put notes on my account and told me exactly what to do to fix it. Would have taken me days or weeks to get this info without being able to actually speak to someone. Honestly, best money I've spent during tax season. Saved me from potentially waiting months for a refund that might have been denied.

Have you tried looking at the actual tax forms that were submitted? If you go to your TurboTax account, you should be able to download a PDF of your actual submitted return. Check Form 1040 specifically and look at the filing status checkbox that was selected and whether the dependents section is filled out correctly. I had a similar issue last year and discovered that somehow my dependents weren't linked to my return even though I had entered all their information. The PDF showed what was actually sent to the IRS versus what I thought I was submitting.

I'm a little confused... if you and your wife are still together, why did you choose Married Filing Separately instead of Married Filing Jointly? MFJ usually gives better tax benefits in most situations, especially when one spouse isn't working. You might actually get an even bigger refund if you change to MFJ.