Hi I'm a small business owner with no employees and have a SEP IRA I contributed a small amount of money to in 2022. I maxed out my Traditional IRA, so I thought getting a SEP IRA for additional tax deductions would be smart. But when I add my SEP contribution in TurboTax, my income increases as does my taxes owed. It looks like the tax increase is about 35% of what I contributed to the SEP. Don't understand what's going on. Help is much appreciated. Thank you!
