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When I go to the Capital Gains section, it says that I would pay 15% taxes. But that doesn't match what I owe, which is twice as much. What am I not understanding?

Thank you - I'm finally getting somewhere with accessing the information and figuring out what's going on.

 

Does it look correct to you then?

DaveF1006
Expert Alumni

When I go to the Capital Gains section, it says that I would pay 15% taxes. But that doesn't match what I owe, which is twice as much. What am I not understanding?

Keep in mind as you are viewing this, your capital gains tax rate is 15% but you are taxed more for the rest of your ordinary income. You can view this on a Schedule D Tax Worksheet.

 

Your Capital Gains in reported on Line 29 and your capital gains tax is reported on line 31. This tax is computed at 15% of your capital gains income for the year. The rest of your income is reported on Line 21 and the tax on that income is reported in Box 44. This is taxed at your ordinary income rate. 

 

Your total tax liability is then totaled  on line 45 and then recorded on Line 16 of the 1040.

 

 

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SusanY1
Expert Alumni

When I go to the Capital Gains section, it says that I would pay 15% taxes. But that doesn't match what I owe, which is twice as much. What am I not understanding?

Yes, it does look correct to me.  I want to be sure that you can find the information you seek so that you're also confident that your tax return was properly prepared, but I can definitely see that the 15% was applied to the qualified dividends and long term capital gains.  


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When I go to the Capital Gains section, it says that I would pay 15% taxes. But that doesn't match what I owe, which is twice as much. What am I not understanding?

Thanks to all who helped me with my various issues!

There were some workarounds that were very helpful and ultimately I was able to understand what was happening.

Thank you, all!

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