Question

Why is the tax calculated by TurboTax different from the tax calculated using the IRS instructions?

Forum|Forum|4 years ago
April 4, 2022
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TurboTax Online

Employee

We cannot see your tax return. We do not know what kinds of income you entered. There is more than one tax table used for the various kinds of income so if you are only looking at one table that is why it is different. Do you have any capital gains or qualified dividends for example? The software uses the appropriate tax table for the income you enter.

**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.**

S

steefaboerAuthor

TurboTax : 1040-SR U.S. Tax Return for Seniors 2021

Department of the Treasury—Internal Revenue Service (99)

OMB No. 1545-0074 IRS Use Only—Do not write or staple in this space.

15 Taxable income. Subtract line 14 from line 11. If zero or less, enter -0- . 15 123,425

16 Tax (see instructions). Check if any from:

1 Form(s) 8814 2 Form 4972 3 . . . . . . . 16 17,029

However, if I use the IRS instructions - Tax Year 2021: 1040 (and 1040 SR)

Section B—Use if your filing status is Married filing jointly or Qualifying widow(er). Complete the row below that applies to you.

Taxable Income (a) (b) (c) (d) TAX

———————————————————————————————————————

If line 15 is ….. Amount from Multipliction Multiply Substraction Subtract (d)

line 15 amount (a) by (b) amount from (c)

———————————————————————————————————————

At least $100,000 $123,425 x22% (0.22) 27,153.50 $8,503.00 $18,659.50

but not over

$ 172,750

So:

Tax [TurboTax ] = $17,029

Tax [IRS istructions] = $18,659

B

BillM223

As xmasbaby0 said, different types of income cause different methods to calculate tax. Qualified dividends and capital gains are two very common examples, but there are others.

You did not respond to xmasbabay0's point here - do you have either of these income types?

Specifically, do you have anything in line 3a or line 7 on the 1040? Was anything marked in one of those boxes on line 16?

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