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tim246
New Member

On the income section of my form the total looks right. But at the end it shows only about 40% of my income and a refund that is way higher than it should be,

 
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1 Reply
MonikaK1
Expert Alumni

On the income section of my form the total looks right. But at the end it shows only about 40% of my income and a refund that is way higher than it should be,

Between the income section and the line that shows the amount of your refund, your tax return may include some deductions and credits, and credit for payments you made through withholding and estimated payments. 

 

Regular income tax as per the tax tables is shown on Line 16 of your Form 1040, and the line includes space to indicate whether any of the tax is from Forms 8814 and/or 4972. The most common reason your tax may be different than the tax table amount is that you reported capital gains or qualified dividends, so that part of your income was taxed at the capital gains rate.  

 

Taxes are often calculated using a different method than the tax tables. For example, if you have capital gains, the tax on those is calculated at the capital gain rate for your income level. If you are self-employed, you may have self-employment taxes in addition to income taxes.

 

You can preview your return before filing to find out how your taxes were calculated. See here for details. 

 

 

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