Question About TurboTax Direct Deposit

[Andrew]

This is my first year using TurboTax, I’ve used brick & mortar HRB for 4 years, and I’m a little confused on how they get their money from my refund. I upgraded to Deluxe so I owe a little under $200 to TurboTax and signed up for direct deposit in my bank account with my fees coming out of my refund. But my return says self-prepared and it has my bank account information for DD so how does the SBTPG get the money?

[Kayla]

My federal rhad a direct deposit date of 2/13 however, I elected for TurboTax to take their fees…will I get my money 2/14?

[Jon]

These are all the fees they charged me.

BANK PROCESSING FEE $39.99
TURBOTAX FEE(S) $79.98
APPLICABLE STATE TAXES $5.60

Total of $125.57 taken out of my federal tax refund.

[Jon]

Here is the website for you to check.

taxpayer.sbtpg.com

[BlueDiamond]

If you elected for TT to take out the fees, your personal checking acct. info is not sent to the IRS. You gave permission to TT for your money to be deposited to SBTPG. Your return is then filed via TT with the acct. information for DD to SBTPG. Once your refund has been sent to SBTPG, your fees will be deducted and the money will then be forwarded by SBTPG to your personal checking account. Usually takes 1 business day. I have done it this way for the last 6 years.

[Kim]

You do know that they charge $29.99 to file delux and another $29.99 to have fees taken out of your refund. You should have just paid the fees up front. When I saw that, I knew they were trying to get over.

[fjbar75]

So does Turbo Tax normally get it to your bank account quicker than say TaxAct? Or is that up to your bank when funds are made available?

[Vlynn]

I’ve used Turbo Tax for years, SBTPG gets it from the IRS, they disperse it to your bank account. There’s a web site for SBTPG you can check your refund, but I know mine won’t be in there till at least the 10th or 11th of Feb. Usually it’ll be deposited within 1 business day from SBTPG.

[Peachblossom]

All they do is change the routing and account number and have your refund sent to SBTPG from the IRS. TT provides SBTPG with your routing and account numbers so SBTPG can send it to you, minus fees. It should be in TT under your forms.

[Andrew]

Ok, so I’m gonna assume that TT sends other paperwork to the IRS that isn’t included in my personal copy of the return.

[liltxman]

You e-signed a form giving TT & SBTPG permission to have the DD sent to them first then to you. Look through the paperwork that TT gave you and you’ll see this form. It explains the process.

[Andrew]

Maybe I’m missing something, but how does the IRS know that they’re supposed to send it to SBTPG instead of directly to me?

[Peachblossom]

The IRS sends your funds directly to SBTPG. They take their part, they pay TT and they send the rest to your bank using the DD information you provided to TT.

[Andrew]

@Tara

But how does TurboTax/SBTPG get my refund if the IRS has my bank info and not theirs? Nothing in my return says anything about TurboTax.

[Tara]

turbo tax sends funds to them once they recieve they direct deposit to you after they remove fees. they process all same day

[Author]

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