Client with taxable income of $18,743 on the 1040 but "0" tax comes up? Why? It falls in the 10% tax bracket. They are both over 65 with lots of Int/Div income and a Cap Gains loss of $3k.
@COSkiBum wrote: with lots of Int/Div income and a Cap Gains loss of $3k.
with lots of Int/Div income and a Cap Gains loss of $3k.
Qualified Dividends may be taxed at 0%.
You should find a Dividends worksheet that you can follow the money to see how the tax is computed.
Thank you. Will look at Div worksheet
Thank you for the suggestion of the DIV worksheet. Happy Day!
