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leslierob
New Member

Wrong Gains and Div Tax Rates

Turbo Tax is calculating my LTGain tax rate at 20% despite my filing status and income qualifying me for 15%. Same for dividends. It's taxing me at more than 20% (qualified) and 37% (unqualified) despite my filing status and income qualifying me for less. It's overcharging me $800. I'm concerned about a hack. Especially since the user interface changed for me this weekend. What's going on? Anyone else have the same overcharging issue and user interface oddness?

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2 Replies

Wrong Gains and Div Tax Rates

are you sure your 15%and not 20% you need to review the qualified dividends and capital gain schedule to see what is happening. 

no one else has reported an incorrect computation on the worksheet. 

you can use the IRS worksheet to see if you come up with the same numbers as Turbotax Page D-16

https://www.irs.gov/pub/irs-pdf/i1040sd.pdf 

leslierob
New Member

Wrong Gains and Div Tax Rates

Yep, I checked and double checked. My income is way below the threshold that would take it to 20% (and 37% for non-qualified divs). That said....I didn't take into account the NIIT of 3.8% since my MAGI is over the threshold. Still, that's 18.8% not 20%. TT is losing its transparency. It's really hard to see what rates are being used and why. Yes, I will do the manual D worksheet, darn it. 

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