Turbotax lists an effective tax rate of 19.45% for my 2022 fed return. I get 21.02% when I use their numbers and divide total tax by taxable income. Can anyone explain?

[bridgeportstork]

I have complicated returns that I understand pretty thoroughly.  This year I decided to file my own returns using TurboTax.  I was surprised by how well  TurboTax worked.  Then, after I filed, I caught this small discrepancy.  Should I be concerned about this -- or about TurboTax more generally?

[Gordon9]

The calculation appears to be Tax divided by AGI (adjusted gross income). You would not want to use Taxable Income because that number has been reduced by your Std deduction or your Sch A itemized deductions, whichever is larger, which does not represent your Income properly.

[bridgeportstork]

That's it -- thank you!

[Mike9241]

no you shouldn't be concerned. it's informational. what is important is that the actual tax calculation be correct. it can also be extremely misleading for those that have self-employment tax.