My federal tax due increased by 25% of my long-term capital gain from selling stocks, instead of the max rate of 20%. Why?

[null195]

I made a long term capital gain from selling a common stock. The federal tax due that is displayed in Turbo tax went up by 25%. Search on internet says that the max long term capital gain tax on common stocks is 20%. Why am i taxed @ 25%?

Some articles indicate that there could be an additional 'Net Investment Tax' of 3.8% for high-income brackets. Even so, the max can't be more than 23.8%?

Why does Turbotax is taxing at higher rate?

[EdwardK]

To determine what tax rate is actually applied to the capital gains on your federal tax return, you would have to review the Qualified Dividends and Capital Gain Tax Worksheet (after paying to download/print) if it is included in your federal tax return.

However, you may determine if the worksheet is included in your federal tax return (before paying) by previewing Form 1040 using the following instructions and seeing if Qualified Dividends and Capital Gain Tax Worksheet is checked under Form 1040 Line 43 under Tax Smart Worksheet: How do I preview my TurboTax Online return before filing?

If the Qualified Dividends and Capital Gain Tax Worksheet is not included in your federal tax return, you should review how you entered stock sales and ensure you selected the appropriate sale category. Please review the following link(s) and the link(s) embedded on the webpage(s) for more information:

• What is Form 1099-B - Proceeds from Broker Transactions?
• Where do I enter a 1099-B?

You should also note if any additional taxes are reported on your federal tax return (Form 1040 Lines 45-46, 57-63). For example, TurboTax may automatically calculate and include IRS Form 6251, Alternative Minimum Tax - Individuals, IRS Form 8959, Additional Medicare Tax and IRS Form 8960, Net Investment Income Tax Individuals, Estates, and Trusts in your federal tax return, if applicable. You may determine if these forms are included in your federal tax return using the following instructions (but don't actually delete forms): How do I delete forms in TurboTax Online?

Please review the following link(s) and the link(s) embedded on the webpage(s) for more information:

• What is the Alternative Minimum Tax (AMT)?
• Why am I getting hit with the AMT (Alternative Minimum Tax)?
• What Is IRS Form 6251?
• What is Form 8959?
• What is Form 8960?

[Ron Erbstoesser]

Can you tell me when Form 6521 will be included in TurboTax Premier 2020 so I can file my taxes?

[Ron Erbstoesser]

Please correct the form number to 6251 - Apologies

[Mike9241]

it is ready. perhaps you don't need to include the form in the 2020 return.

Who Must File
Attach Form 6251 to your return if any of
the following statements are true.
1. Form 6251, line 7, is greater than
line 10.
2. You claim any general business
credit, and either line 6 (in Part I) of
Form 3800 or line 25 of Form 3800 is
more than zero.
3. You claim the qualified electric
vehicle credit (Form 8834), the personal
use part of the alternative fuel vehicle
refueling property credit (Form 8911), or
the credit for prior year minimum tax
(Form 8801)

4. The total of Form 6251, lines 2c
through 3, is negative and line 7 would
be greater than line 10 if you didn’t take
into account lines 2c through 3.

[Ron Erbstoesser]

Thanks a million, but the issue is that I'm done with my taxes in TurboxTax, but it says Form 6251 is Ready Soon for Mail or E-File when doing the Review, and I cannot file my taxes until it is included in TurboxTax.  I prefer to E-File, but even when printed it says Do Not File - Form Not Final.