Wrong Tax Amount

[ZachPro]

I am looking back at my 2021 tax return.  On my Form 1040, Line 15 shows $78,751.  And Line 16 shows $20,702.  This means that I'm paying 26% tax.  Isn't it high?

I just checked with this IRS link.  It shows that my tax should have been $12,948 (married filing separately).  Why is there such a huge difference?  Which one is correct?

[dmertz]

Numerous things can be included on Form 1040 line 16 besides just the ordinary income tax on the amount on line 15.  Check the instructions for line 16 to see if your tax liability includes any of these other items:  https://www.irs.gov/pub/irs-prior/i1040gi--2021.pdf

Also make sure that you have done no overrides in TurboTax.

[ZachPro]

I just read Page 32 of the link you sent me.  None of the other taxes seem to apply to me.  I don't even know what most of them are.

>>> You wrote:  Also make sure that you have done no overrides in TurboTax.

What do you mean?  What should I check?  Give me some pointers.  Thanks.

[NCperson]

@ZachPro some ideas on where to look:

did you use Turbo Tax to complete your 2021 tax return?  

If you used Turbo tax do you remember right clicking and overriding any of the fields? that is a "no-no" as it invalidates the turbo tax guarentee; also frequently you can't efile the tax return 

if Line 15 is $78,751, then line 16 should be $13,079.  it is right from the table on page 74.

https://www.irs.gov/pub/irs-prior/i1040gi--2021.pdf

are you confident you are posting the correct line numbers?  were you self-employed and that tax number is really Line 24, which would include the Self Employment tax? 

the link you posted above is the 2022 tax instructions yet you state that you were reviewing your 2021 tax return.  Which year are we really dealing with? (and that is why you state the table says $12,948 and I say $13,079 - because there are two different years being discussed. 

[SteamTrain]

@ZachPro 

If you used the Desktop/Download version of TTX?

You can open that 2021 tax file, switch to Forms Mode...then look at the 1040/1040SR worksheet.....and in that 1040 worksheet, if you scroll down to the line 16 area, there is a tax calculation worksheet that might show where the extra $$ are coming from:

[ZachPro]

Thanks for your reply.

1. Yes, I used TurboTax to complete my 2021 tax return.  
2. No, I did not override anything.  I did not even know one could override things.
3. I might have looked up an IRS 2022 PDF (instead of 2021) to verify what TurboTax thinks I should pay.  But yes, I'm talking about my 2021 tax return.  I'm not worried about the small tax difference between $12,948 and $13,079.  My problem seems much bigger.
4. I'm confident with what my eyes are looking at.  On my Form 1040, Line 15 shows $78,751.  And Line 16 shows $20,702.  And these numbers are produced by TurboTax!
5. NOT self-employed.

[ZachPro]

Hi,

Yes, I'm using Windows download version.  Desktop.  TurboTax 2021.

Thanks for your suggestion.  I just did what you suggested.  Under Tax Smart Worksheet....

• Line A shows $20,702. 
• Lines 1 to 6 are blank.
• Line 7 is checked, which is fine. 
• Lines B to H are all blank.  Line I is $20,702 again.

[SteamTrain]

self  Deleted...crosstalk

[SteamTrain]

Then the likely source is the Foreign Earned Income Tax Worksheet.

Check that....(But I have no experience with that one)