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Federal tax return in the 24% tax bracket appears to be incorrect.

Forum|Forum|4 years ago
March 21, 2022
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When I use the Federal tax calculations in the 24% tax bracket, the calculation is too low making the Federal refund too high. I used Turbo Tax calculator which confirmed this error.

Best answer by JulieS

Can you clarify your question?

If you want a confirmation that something is wrong with a calculation, you need to provide more details like filing status, taxable income and whether you have items that are taxed at a different rate, like capital gains.

J

JulieSAnswer

Can you clarify your question?

If you want a confirmation that something is wrong with a calculation, you need to provide more details like filing status, taxable income and whether you have items that are taxed at a different rate, like capital gains.

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"

E

ermine_pappyAuthor

1) I am filling form 1040SR - married filing joint

2) Line 15 is the taxable income (L15)

3 Line 16 is the tax amount calculation based on line 15 and married filing joint (L16)

4) Based on the IRS equation; L16 = ((L15 - $178,151) x 0.24) + $30,427

5) TT for L16 calculated $344 too low

Is there additional information that goes into the calculation?

6) if we had a private conversation - I can give you the numbers.

J

JohnW152

The most likely answer is that you've entered qualified dividends and/or capital gains on your tax return.

When these types of income are reported, taxes will not be calculated using the tax tables, but using either the Schedule D Tax Worksheet provided in the Instructions for Schedule D, or the Qualified Dividends and Capital Gains Tax Worksheet in the Instructions for Form 1040 and 1040-SR.

These worksheets will result in lower taxes than the tax table or tax schedule -- sometimes even zero taxes.

If this doesn’t appear to be correct, please reply back.