I am trying to learn more about how taxes work and tax optimization strategies. Slowly but surely, I am figuring out how the various numbers impact each other and my bottom line. I am expecting a windfall in 2017 from the sale of some land, and in preparation for that, my husband and I are maxing as many tax-deferred accounts as possible. I was playing around with some projected numbers in Turbo Tax (2016) today, and wound up with a negative effective tax rate even though it looks like we will pay $930 in Federal Taxes. Can someone explain how this is possible/what it means? Also, is there a resource you can recommend to learn more about how taxes work so that I can learn to make them work in our favor?
