Turbotax Home & Business tells us that we owe $2000 even though our taxable income is only $1961. How is it possible that our taxes are higher than our taxable income?

[AlanT]

Do you have self-employment income?

[hurleyburke]

Yes, my wife and I are both self-employed.

[Zbucklyo]

You owe self-employment tax on the net income from your two businesses.  It is 15.3% * 92.35% of that net income.  The two businesses are assessed separately.