Why did my taxes increase from $300 last year to $6700 this year. the only difference was i was required to take an rmd of $26,000.

[Josef2]

yet my gross income increased by $47,000. is there a double entry somewhere?

[KatherineC · Accepted solution]

Preview your tax return looking for any income items that seem to be too big a dollar amount.  Also compare any taxes withheld and paid to your source documents.  You could have a misplaced decimal point or a transposed number.

You need to be in your tax return as you follow the steps below. 

• Please click on Tax Tools in the column on the left side of your Turbo Tax screen. 
• Then click on Tools; (First Screenshot below)
• Then View Tax Summary (Second Screenshot below)
• Once you are on the "Review Tax Summary" screen, you can click on "Preview my 1040" in the left column. (Third Screenshot)

Scroll through your return.  You will be able to pinpoint the differences, especially if you compare the amounts on 2017 to the amounts you reported on your 2016 income tax return.  Once you spot differences go back through the input for that section and make any necessary corrections.

[Josef2]

Last year my pension was $22,000 and my SS was $33,000 of which $3,500 was taxable for a AGI of $26,000.  This year my pension was $22,000 and my RMD was $26,000 making $24,000 of my SS taxable for a AGI of $73,000.  Just doesn't sound right.  That's quite a jump for just making a RMD.

[KatherineC]

Go to this link (<a rel="nofollow" target="_blank" href="https://apps.irs.gov/app/vita/content/globalmedia/social_security_benefits_worksheet_1040i.pdf">http... access a Social Security Benefits Worksheet.  You can work through the calculation to see if your taxable social security benefits is correct.

[Josef2]

Thank you very much.  I'm sure this form makes sense to someone.  I worked through it and got the same answer which I fairly well knew I would.  Hopefully some day this nonsense will actually be simplified.

[KatherineC]

You're welcome - sorry the IRS worksheet is so confusing!