topic tax calculation too low in Get your taxes done using TurboTax

tax calculation too low

dedudette — Tue, 03 Feb 2026 17:00:10 GMT

TT calculated my taxable income at $40,846. I am single over 65. TT calculated my tax liability at $2759. How on earth did they calculate that?

Re: tax calculation too low

AnnetteB6 — Mon, 03 Mar 2025 15:33:45 GMT

If a portion of your income was due to long-term capital gains or qualified dividends, then your tax liability could be lower than expected due to a portion of your income being taxed at 0%.

When this is the case, your tax liability is calculated on a worksheet called Qualified Dividends and Capital Gains Tax Worksheet instead of simply being determined by the tax tables.

You can see this worksheet by going to Forms at the top of your screen (if you are using a desktop version of TurboTax). Look for Qual Div/Cap Gn in the list on the left side of the screen.

If you are using TurboTax Online, you can also print this worksheet after your TurboTax fee has been paid.

Re: tax calculation too low

dedudette — Mon, 03 Mar 2025 15:50:17 GMT

Thank you, Annette. When I subtract long term capital gains and qualified dividends, I get Turbo Tax's number exactly!