Total Income issue

[Mary1692]

OK, I see what it is saying; makes sense.  However, the taxable amount of income did not go up by $1,397.  It went up by $4,048.

[Hal_Al]

On the dotted line, to the left of line 1, on form 1040, is there a notation, e.g. DCB4048?

[Mary1692]

Just DCB

[Hal_Al]

That confirms that TT is calculating that part of your Dependent Care Benefits ("DCB") as being taxable (although the amount is usually on the dotted line too).

Review Part III of form 2441 for the calculation of the taxable amount.