How Does the IRS Enter Return Data? (2023 Update)

My daughter asked me a question about what the IRS does when they get her electronic return. She used TurboTax online this year, and her return was 'accepted' by the IRS. So what happens next? Just because the return was 'accepted', does that mean that it was filled out correctly and she will get her refund?

Does a live person enter certain details? Does her TurboTax electronic return have fields that are robotically scanned and read? If errors or incompleteness is found, will she still get her refind, but a live person will later audit, or will this trigger questions being sent to her?

BTW, she had lots of trouble with TurboTax and was chatting with them all the time. The reps told her that her problems were widespread this year. One such problem was that the instructions said that if you received a state refund but did not itemize last year, you didn't need to enter the state refund amount. But, the software auto entered it (guess it knew it from her last year's filing), and wouldn't let her delete it. The reps said that the software should let her delete this, but it couldn't be done.

Thanks in advance for any replies.

When the IRS receives an electronic return, the information on the return is processed through their computer systems. The return data is scanned and checked for errors, such as missing information or mathematical errors. If the return is accepted, it means that the IRS's computer systems were able to process the return without finding any errors.

The return data is then used to generate a refund, if one is due, or to calculate any taxes owed. If the return is accepted, it does not necessarily mean that the return was filled out correctly and that the refund will be issued without any issues. The IRS may still review the return and may ask for additional information or documentation if they find discrepancies or inconsistencies in the return.

It's important to note that the IRS uses automated systems to process returns and in many cases, the software relies on certain information being entered in specific fields. If there are errors or incompleteness in the return, it may trigger questions or requests for additional information from the IRS to the filer.

As for the issues you mentioned with TurboTax, it's not uncommon for there to be issues with tax software. It's important to follow the instructions provided by the software and to check that all the information entered is correct and complete. If you are experiencing problems with the software and are unable to resolve them, it's recommended that you contact TurboTax support for assistance or seek help from a professional tax advisor