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Jbtc
New Member

Why is the qualified dividend and capital gain worksheet using $44,625 single and $89,250 married when the IRS brackets are $44,725 and $89,450?

I am working on 2023 taxes and using the IRS brackets, the $200 married differential times the 22% tax rate would decrease taxes $44!
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4 Replies
MinhT1
Expert Alumni

Why is the qualified dividend and capital gain worksheet using $44,625 single and $89,250 married when the IRS brackets are $44,725 and $89,450?

The numbers used by TurboTax are correct and are those stipulated by the IRS.

 

See this IRS document.

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Why is the qualified dividend and capital gain worksheet using $44,625 single and $89,250 married when the IRS brackets are $44,725 and $89,450?

you are looking at the tax rate schedule which is not how taxes on long-term capital gain and qualified dividends are computed. 

Jbtc
New Member

Why is the qualified dividend and capital gain worksheet using $44,625 single and $89,250 married when the IRS brackets are $44,725 and $89,450?

Thank you.  I was not aware there were different brackets for capital gains than ordinary income.  I appreciate you providing me the link to the IRS Capital gain brackets.  

Jbtc
New Member

Why is the qualified dividend and capital gain worksheet using $44,625 single and $89,250 married when the IRS brackets are $44,725 and $89,450?

Thank you.  I was not aware that the capital gain brackets were different than the ordinary income brackets.   Thank you for responding.

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