Question: "Qualified Dividends and Capital Gain Tax Worksheet -- line 12a" 1040 2019
2019 was not a good year and my taxable income(1040 line 11b) is 00.
I had dividend and LTCG income so Schedule D sends me to this worksheet: Qualified Dividends and Capital Gains (page 33, 1040 instructions).
I had expected to pay no federal tax, but am getting hung up on question #24 on this Worksheet.
24. Figure the tax on the amount on line 7.
If the amount on line 7 is less than 0,000, use the Tax Table to figure the tax.
If the amount on line 7 is 0,000 or more, use the Tax Computation Worksheet
In my case, line 7 is [CO]. But if I follow these directions to Tax Table and use 00 (line 11b), I do have a tax to pay, which flows to end of this form.
Have I interpreted line #24 correctly?
Thanks.
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You missed an important part of that quote of Line 24: "Figure the tax on the amount on line 7" (emphasis mine). The tax on [CO] is [CO].
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