To calculate your individual effective tax rate.
- Take your total tax on line 24 of Form 1040
- Divided by
- By your taxable income line 15 of form 1040
You may have looked at the Blended Tax rate.
The Blended tax rate is calculated under Federal / Federal Review
- To access it, all questions must be answered in the Federal Review.
- At the end of the questions. Look at the bottom of the screen
- It will say Get a detailed view of your numbers
The Blended Tax rate is:
- Tax liability (Including SE tax, capital gain and special taxes),
- Divided by
- Taxable income (Total income minus deductions, but before credits).
(All line numbers are on form 1040).
The Blended is your
- Total income (line 9)
- Deductions (Line 12) This is Itemized or Standard
- Taxable Income (Line 9 – Line 12)
- Blended Tax Rate (Tax Liability [below] / Taxable Income [above])
- Tax Liability (Line 16 + Line 23)
Taxes Paid (line 25d)
Credits (Line 21)
Total Tax Paid (Line 21 + Line 25d)
Refund/Due (Line 34 or Line 37)
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