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Tax calculations slightly off

Client is single.  Taxable income is $21,150.  ProSeries calculates tax as $2,351.  I calculate by hand $2,347.  Why is it off by $3.50?

$21,150     Taxable Income

- $9,525 x 10% =   $952.50

$11,625 x 12% = $1,395.00

Total Tax              $2,347.50

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TaxGuyBill
Level 15

As Lisa pointed out, if income is below $100,000 the tax is NOT calculated by direct math, it uses the Tax Tables.

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3 Replies 3
Just-Lisa-Now-
Level 15
Level 15
What do the IRS tax tables show?

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
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TaxGuyBill
Level 15

As Lisa pointed out, if income is below $100,000 the tax is NOT calculated by direct math, it uses the Tax Tables.

View solution in original post

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IRonMaN
Level 15
And that agrees with the tax table.
ACME Taxes, Tatoos, Tires and Tomatoes (I had to get rid of the turtles - they kept running away)
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