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Taxable income with no tax
AGI =85,071, which includes qualified dividends of 41,670
Itemized deductions = 48,262, 1 exemption at 4,050 = taxable income of 32,756
tax on line 44 = zero, which makes no sense to me
Does it have anything to do with the qualified dividends?
Shouldn't there be some tax?
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Get your taxes done using TurboTax
Yes it has to do with the qualified dividends. Not sure which TurboTax product that you are using, but I put your figures in a desktop application to see how line 44 was calculated. When I look at the worksheet on how the Qualified Dividends and Capital Gains Tax worksheet is calculated, I get the same result as you-zero taxes. Qualified dividend taxes are taxed at rates of 0%-23.8%. If you are in the 10-15% ordinary income tax rate, then the qualified dividend rate would be 0%.
Note: I am not privy to the rest of your return details and only entered that which you listed above. I also assumed that you were single.
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