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How calculate tax?
How does turbotax calculate my tax owed? I get a different answer when I calculate it myself using the tax computation worksheet in J.K. Lasser's tax guide.
Not all income is taxed at the same rate. Long-term capital gains and qualified dividend income is taxed at a lower rate than ordinary income. If you have self-employment income, you owe self-employment tax on that income. Unless you have a straightforward tax situation, you can't rely on the tax tables or the tax computation worksheet.
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