topic Why is the amount Turbo Tax figured for line 16 (tax) on my federal form 1040 $160 less than the amount on the IRS tax table? in Get your taxes done using TurboTax

Why is the amount Turbo Tax figured for line 16 (tax) on my federal form 1040 $160 less than the amount on the IRS tax table?

rlgyank — Mon, 09 Mar 2026 06:19:22 GMT

Re: Why is the amount Turbo Tax figured for line 16 (tax) on my federal form 1040 $160 less than the amount on the IRS tax table?

mesquitebean — Tue, 08 Feb 2022 07:05:20 GMT

Do you have any capital gains or qualified dividends? If so, those are taxed at a lower rate (0% initially for some folks). When you have those types of income, TurboTax uses the Qualified Dividends and Capital Gain Tax Worksheet to figure the amount of tax instead of purely using the Tax Tables, and that results in the more-favorable tax treatment.

Re: Why is the amount Turbo Tax figured for line 16 (tax) on my federal form 1040 $160 less than the amount on the IRS tax table?

rlgyank — Tue, 08 Feb 2022 07:23:40 GMT

Yes, thank you for replying. I figured that out about 15 minutes after I posted the question. You are correct in what you said, that was why it was different. Thanks again.

Re: Why is the amount Turbo Tax figured for line 16 (tax) on my federal form 1040 $160 less than the amount on the IRS tax table?

mesquitebean — Tue, 08 Feb 2022 07:24:27 GMT

@rlgyank wrote:
Yes, thank you for replying. I figured that out about 15 minutes after I posted the question. You are correct in what you said, that was why it was different. Thanks again.

You're welcome. Good luck!