Yes, interest from high-yield saving accounts is taxable.
It seems unusual that tax would increase $20k on $23k additional income if you have no deductions. There are some deductions that are phased out at a certain income, as well as credits. For example, the Child Tax Credit is not available for a joint return if your income is over $400,000 or a single with income over $200,000.
I'd suggest printing a pdf of the return and double checking the figures you entered are correct.
