Tax Calculation

[mitchden1]

Line 15 of Form 1040 shows taxable income of $315, 320. Line 16 of Form 1040 shows tax of $59,421. No "boxes" are checked (i.e. 8814, 4972). Based on the simple tax bracket calculations for married filing jointly, the tax should be more. I looked at the Turbotax forms and can't find any form which which would explain why the amount on Line 16 of Form 1040 would be less than the calculation using the 2024 tax brackets.

What am I missing?

[mesquitebean]

@ mitchden1

TurboTax doesn't always use the Tax Tables or the simple Tax Computation Worksheet (for higher incomes).   It uses whatever is required by the circumstances in your return, which sometimes involves other computation forms.   For instance, as one of the more common examples, do you happen to have any qualified dividends and/or capital gains?  If so, the tax is figured on the Qualified Dividends and Capital Gain Tax Worksheet.

Tell us if you are using Online TurboTax or desktop TurboTax, and I can tell you how to look at the Tax Smart Worksheet that shows what method(s) TurboTax used to calculate your tax.

[mitchden1]

I'm using the desktop Turbotax. I don't know which Form to see the calculation.

[mesquitebean]

Here's how to see the Tax Smart Worksheet to see what method(s) TurboTax used to calculate your tax.

In the desktop version, go into Forms Mode.   

In the left column list of forms look at the Form 1040 Worksheet (may say 1040 Wks). 

On the 1040 Worksheet scroll down and between Lines 15 and 16 there should be a Tax Smart Worksheet showing the method(s) used to calculate your tax.

As as an example, if that Tax Smart Worksheet shows that it used the Qualified Dividends and Capital Gains Tax Worksheet, then you can go back to the left column list of forms and view that calculation worksheet, which may be abbreviated as "Qual Div/Cap Gn".

What method(s) did you find out at the Tax Smart Worksheet using the steps above?