Online TurbotTax 2021 is showing wrong tax information, more owed than actual

[mekellar]

Thanks for the info.  I went back and looked at the Schedule D, and all numbers are correct per my 1099-DIV.  But, the tax amount that TT says I owe is still off by $2000.  Once again the data from the Schedule D is entered on line 7 of the 1040-SR and is included as income to be taxed.  How did TT figure the tax owed?  I can't figure it out.

[ThomasM125]

@mekellar Dividends and capital gains can be taxed at different rates than ordinary income. You need to look on the Qualified Dividends and Capital Gain Tax Worksheet to see how your income tax was calculated. The worksheet should be included with the schedules provided when you print out your tax return.

[VolvoGirl]

@mekellar   See the IRS worksheet on 1040 page 36 for how the tax is figured

https://www.irs.gov/pub/irs-pdf/i1040gi.pdf

Turbo Tax uses the same worksheet.  Save your return as a pdf file with all the worksheets to see it.

[VolvoGirl]

Here I took a screenshot of the IRS worksheet.  Maybe you can print it out to fill out.

[mekellar]

Great!  I did find it in my downloaded documents.  I struggled through it and finally came up with the same number as Turbo Tax.  Normally would not have this issue, but I have to mail this in and I wanted to make sure I understood it.  Thanks much for your advice/help.

[jbj94]

ME TOO! Also after entering all my info my refund status for fed and state are $0 / $0. No matter what number I put in the result is the same. And, seems I owe over $1,000 for healthcare this year! WTF!! Also I can't choose "itemized deductions" EVER . . no matter what . . . the default is standard and that's it.

[BillM223]

We in the Community cannot see your screen nor your private tax data. Please concentrate on one issue and give us some data.

I can think of a number of reasons why you might enter a W-2 and not have any tax due or show a refund. But you have to give us a starting point.

"And, seems I owe over $1,000 for healthcare this year! " - Do you have health insurance through the Marketplace? And after you entered the 8962, you ended up owing the IRS? Again, we need detail.

"Also I can't choose "itemized deductions"" - you can normally choose Standard or Itemized, although there is usually not a good reason to second-guess TurboTax on this. Why do you want to Itemize?

@jbj94

[MDcom]

Turbotax is wrong. My taxable income increased about 2K and I am in the same tax bracket yet I got a 1700.00 refund last year and this year it says I owe over 12 K. I have rechecked all data inputs with no changes made. Tax rate is showing to be about 31%.

[VolvoGirl]

Usually more income = more tax = less refund.  Your withholding didn't increase enough to cover the tax due.  Or some credits you got are reduced because you made more income.

[3GCLA]

This happened to me this week as I had to amend my 2021 tax return.  When I plugged my income for 2021, the 2021 tax tables showed I owed more tax that the return I sent in using turbo tax premium for 2021.  I tribeled check the return AND the forms and everything was in order so unless they changed the tax code after my submission, THERE IS A BUG IN YOUR SOFTWARE!!