I received an outstanding service award (cash) from a foundation associated with my employer. The foundation issued a 1099-MISC for the $2500. When I enter that into TT Premier as "other income" it shows up properly on line 21 of the 1040. My question is how TT calculates taxes on the $2500. After entering the $2500 TT says I owe an additional $625 if federal taxes and $200 in state taxes. That is 33% of the award.
1. Is that right?
2. Where in "forms" view can I see the calculations of the taxes?
