Form 8615 Line 9 Instructions

[RandlePink]

Hello,

For the 2024 tax year, I am trying to figure out why TurboTax used the Schedule D Tax Worksheet to calculate Line 9 on Form 8615 vs. the Qualified Dividends and Capital Gains Tax Worksheet.

My situation: Form 8615 Line 8 includes amounts from my (parent's) taxable income, which includes qualified dividends.  Line 8 also includes amounts from my son's net unearned income, which also includes qualified dividends (via line 5, I presume).  Based on how I interpret the Line 9 instructions, that means I should be using the Qualified Dividends and Capital Gains Tax Worksheet vs. what TurboTax used - the Schedule D Tax Worksheet. 

(There is no Schedule J on my (parent's) tax return, and there is no 28% rate gain or unrecaptured section 1250 gain on any of our tax returns.  There is also no Form 2555 filed on the child's return.) 

Form 8615 lines 1 - 5 are as follows:

1) 2,954

2) 2,600

3) 354

4) 2,504

5) 354

Line 6 is my (parent's) taxable income from my Form 1040, line 15 which is inclusive of qualified dividends asuming I am interpreting correctly.

What am I missing? 

Thank you!

[Mike9241]

the Turbotax 8615 schedule D worksheet is the capital gains and qualified dividend worksheet. that same worksheet as in your return. scroll down to page 2 to see the aggregate calculation for line * on the 8615

[RandlePink]

Thank you very much for your prompt reply.  I looked at my completed Turbotax 8615 schedule D worksheet and reviewed page 2 per your guidance, but I noticed that it really is the "Schedule D Tax Worksheet" vs. the "Qualified Dividends and Capital Gains Tax Worksheet".  The Schedule D Tax Worksheet in TurboTax has 47 lines, and each line matches the actual worksheet lines in the Schedule D Instructions (https://www.irs.gov/pub/irs-pdf/i1040sd.pdf    - see pp. 16-17). 

But the Qualified Dividends and Capital Gains Tax Worksheet is in the Form 1040 Instructions (https://www.irs.gov/pub/irs-pdf/i1040gi.pdf   - see p. 36) and only has 25 total lines.  So I am still confused as to why TurboTax used the Schedule D Tax Worksheet vs. the Qualified Dividends and Capital Gains Tax Worksheet, given my scenario.  Any ideas?

Thank you for your help.

[LenaH]

I would like to take a deeper look at this. However, I need a diagnostic file which is a copy of your tax return that has all of your personal information removed. You can send one to us by following the directions below:

TurboTax Online:

1. Sign into your online account.
2. Locate the Tax Tools on the left-hand side of the screen.
3. A drop-down will appear. Select Tools
4. On the pop-up screen, click on “Share my file with agent.”
5. This will generate a message that a diagnostic file gets sanitized and transmitted to us.
6. Please provide the Token Number that was generated in the response.

TurboTax Desktop/Download Versions:

1. Open your return.
2. Click the Online tab in the black bar across the top of TurboTax and select “Send Tax File to Agent” *
3. This will generate a message that a diagnostic copy will be created.  Click on OK and the tax file will be sanitized and transmitted to us.
4. Please provide the Token Number (including the dash) that was generated in the response.

*(If using a MAC, go to the menu at the top of the screen, select Help, then, “Send Tax File to Agent”)

 @RandlePink 

[RandlePink]

@LenaH ,

Thank you for your reply.  I actually found my error via another post I submitted in the Education category, as I learned that Education is where several other posters submit questions on Form 8615.   Please see here: https://ttlc.intuit.com/community/college-education/discussion/re-form-8615-line-9-instructions/01/3...  

TurboTax calculated correctly; the error (as I was hoping) was mine.  Via that other post, I now understand why TurboTax uses the Schedule D Tax Worksheet given my circumstances.

Thank you!