But they actually don't do that. My total tax divided by taxable income is equal to 25.79%, but the program printed 18.853% as the effective tax rate in the return summary. This is a VERY large error and it is only made a tiny bit better by dividing by the AGI. Even using TOTAL income before adjustments, the actual effective tax rate is 21.84% - a 3 point or 16% difference. I trust TurboTax to get the math correct - what the heck?
