Background: I am preparing by taxes manually in parallel to Turbotax, using Turbotax, as a way to check my work. I have purchased Turbotax from Costco, intending to file electronically. This reflect the good will and good experience from last year. Last year, Turbotax, delighted me with undiscovered savings, so I am a retruning customer.
Now, I look for your help to go forward after discovering these discrepancies.
1. Understated Federal 2024 Tax Liability
Taxable Fed Inc $29,607
Tax liability per 2024 IRS Tax Table = $3,091
Tax liability per Turbotax = $2,965
Result: underpayment to the Fed by $126
Analysis:
1) the $2,965 tax liabilkity corresponds to Fed Inc $28,607, which is $1,000 less the actual
2) possible software error, tax table imay be incorrectly addressed by Turbotax
2. Understated Ohio 2024 Refund
Taxable Ohio Income $24,250
Tax liability in Ohio for up to 26,050 = $0
Tax liability per Turbotax = $99
In this case, we will be under refunded by $99
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1. How the tax is calculated matters. If you had for example, capital gains as part of your income, you would not use the tax table. Your income tax would be lower. Take a look at your 1040 line 16 to see how the tax is calculated. Since you have the download version, switch over to Forms mode and look. You can data source with a right click.
2. The OH income requires Forms mode again. Take a look and see if there is additional income added or some other factor at work, possibly flowing from the federal to change those calculations.
I am impressed trying to tackle this by hand!
Wow! Good answr. I DID have about $1K in capital gains. I'll work through the forms. Thank you.
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