THIS QUESTION IS FOR THE TURBOTAX PROFESSIONALS, NOT FELLOW USERS
Questions re TurboTax calculations on our program: TurboTax Home and Business
Our total income is shown as $142,610.
Our Federal Deductions are shown as $62,865.
Our Taxable Income is shown as $67,120.
Our Federal Taxes owed is shown as $18,798.
18,798 divided by 67,120 shows our tax rate to be 28%.
taxfoundation.org (and IRS.gov) lists federal tax rates for joint filers like us as:
10% on first 19,750 = 1,975.
12% on 19,751 to 80,250 (to 67,120 for us) = 12% of 47,369 = $5,684.28
1,975.00
+ 5,684.28
$ 7,659.28
NOT $18,798 !!
HOW DOES TURBOTAX EXPLAIN THIS DISCREPANCY ?!?
