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MQ7
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Why taxes on line 16 of Turbotax is lower than IRS tax tables shows for the same taxable income on line 15?

The taxes calculated by 2023 Turbotax on line 16 of Form 1040 is lower than what is shown in IRS tables for the same taxable income.  Is there an error in Turbotax?  Please help.

 

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2 Replies

Why taxes on line 16 of Turbotax is lower than IRS tax tables shows for the same taxable income on line 15?

There is more than one tax table.   Do you have, for example, any capital gains or qualified dividends?  Click on Forms mode to look at your worksheets.

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

Why taxes on line 16 of Turbotax is lower than IRS tax tables shows for the same taxable income on line 15?

Even though it shows up as income on the first page,if you have capital gains or qualified dividends the tax is not taken from the tax table but is calculated separately from schedule D.  The tax will be calculated on the Qualified Dividends and Capital Gain Tax Worksheet.  It does not get filed with your return.

 

In the online version you need to save your return as a pdf file and include all worksheets to see it.

 

For the Desktop version you can switch to Forms Mode and open the worksheet to see it.  Click Forms in the upper right (upper left for Mac) and look through the list and open the Qualified Dividends and Capital Gain Tax Worksheet.  And you will need to use this IRS worksheet on page 15.

https://www.irs.gov/pub/irs-pdf/i1040tt.pdf

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