Questions tagged [tax-credit]
for questions that relate to tax credits. A tax credit is a sum deducted from the total amount a taxpayer owes to the state.
80
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2
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2answers
35 views
In which order are tax credits calculated if you earn both refundable and non-refundable?
Let's say you qualify for two types of tax credits: one refundable (EITC), and one non-refundable (adoption). To keep it simple, let's say that you owed $1000 in taxes, and you qualify for $1000 in ...
0
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0answers
44 views
Carry-over of residential energy credit from year filing as MFS to year filing as MFJ
I plan to file MFS (married filing separately) this year, because wife’s income is far higher (I’m retired) and I can get some very advantageous use of the 10/12% tax brackets (substantial LTCGs that'...
6
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1answer
1k views
How does a Child Tax Credit work to reduce my taxes?
Let's say I make 100K a year from my business and I have 3 kids under 9 years old. I read that each child can give me $2000 child tax credit.
So if my 100K business income is taxed and say its 40%:
...
4
votes
0answers
99 views
If my job is exactly the same across three employers, is it considered one job or three for tax credit purposes?
The state of Oklahoma has a tax credit for engineers working in aerospace, described in form 564. The definitions on page 2 specifically state under "Qualified Employee":
[the employee] was not ...
2
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0answers
85 views
Does a state tax credit received as a gift count as income?
I have received a state tax credit for a historic rehabilitation project, which for a fixed fee the state of Arkansas allows me to partially sell/transfer. Whoever has the credit has up to five years ...
0
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2answers
86 views
Will I actually use my Solar State & Federal Tax Credit?
I live in Iowa, and am considering a solar panel install on my house. It is likely the install will take place in 2020 making it eligible for the 2020 state and federal tax credits. I get that I will ...
2
votes
0answers
61 views
What's wrong with transferring $12,000 from RRSP to RRIF and withdraw $2000/yr 65-71 inclusive? Why doesn't this give you $12000 out RRSP tax-free?
I live in ON. Jim Yih wrote Are You Taking Advantage of the Pension Income Tax Credit?
Transfer RRSP to a RRIF. At age 65 transfer $12,000 to a RRIF and take $2000 out per year from age 65 to 71(...
3
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2answers
263 views
How much of my $5K/yr tuition tax credit ought I transfer to my mom who earned $40K/yr?
From 2009-2015, I was studying in universities, and earned no income. My parents paid all my tuition. We all live in ON. I filed my taxes, but didn't know about claiming tuition tax credits. I would'...
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0answers
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Do I need to file taxes or can I file taxes educational credit refund purpose with 1098T?
I did not work at all but I received a 1098T for my online school. The 1098T has $12,070.04 on box 1 and $2,529.53 on box 5. I will like to know if I should file taxes with the 1098T only to get ...
4
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1answer
265 views
Does the federal Investment Tax Credit for solar installations take into account upgrade costs?
I have an older home that needs some upgrades in order to support a solar installation (new roof, 200A electrical panel, and replacing old wiring). Are the costs of doing those upgrades included (in ...
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0answers
58 views
Should I increase my tax liability to better utilize a nonrefundable credit?
My household qualifies for the maximum $2000 non-refundable Lifetime Learning federal tax credit. However, due to planned aggressive contributions to retirement accounts, my tax liability is low ...
3
votes
1answer
159 views
US taxes small mistake that doesn’t change tax or refund
Last week I filed my tax return.
For the child care credit, I wrote I spent X dollars. I redid the calculations, and turns out I spent X+6 dollars. This obviously can’t make me owe more taxes and ...
1
vote
1answer
168 views
Did Schwab's Emerging Market ETF really pay no foreign tax related to the final distribution in 2018?
According to the 1099 from my broker, the Schwab Emerging Market ETF (SCHE) did not pay any foreign taxes associated with its final dividend for 2018, declared 12/28/2018. I'm quite skeptical as ...
0
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0answers
36 views
How to value AMT Credit
I'm modelling some scenarios exercising and selling ISO stock options including "same day sell" and "hold for a year and a day", the latter one trying to take advantage of the long term capital gains ...
1
vote
1answer
217 views
Premium tax credit repayment
Due to having withdrawn money from IRA to purchase a home, I had to repay the entire Premium Tax Credit in the amount of $15,000.00 when I filed my taxes in February 2018.
Can I deduct the entire $15,...
1
vote
1answer
350 views
Where are additional dependent children listed on the 2018 1040 tax form?
I was getting a head start on my taxes and wondering what form there is for listing out additional children. On the old form, I attached another form (probably something just autogenerated by my ...
2
votes
1answer
117 views
MA 2015 Schedule Z line 12: “Income tax paid to another state or jurisdiction (from worksheet)” -> what worksheet are they talking about?
I am filling out a 2015 Schedule Z (mirror) in Massachusetts, USA, which I plan to attach to a 2015 Form 1 (mirror).
Line 12 says: "Income tax paid to another state or jurisdiction (from worksheet)". ...
3
votes
1answer
95 views
Do I not qualify for any education tax breaks?
I'm planning on going back to school for a graduate degree. Looking at the different tax breaks I could find related to education:
The American Opportunity tax credit: This is not an undergraduate ...
7
votes
1answer
319 views
If your spouse passes away do you lose any tax credits (GST and Trillium Credit) owed to them before they died?
My husband passed away this pass on 17-July-2018. Until he passed away we hadn't filed our income tax for the years 2015, 2016 and 2017.
I am wondering if and when I do decide to file our taxes;
...
3
votes
1answer
98 views
USA: Can I deduct the cost of solar power that I didn't earn back in credits?
I am located in the USA. The federal government allows a 30% tax credit on solar. Details here: http://programs.dsireusa.org/system/program/detail/1235
In addition to that, it appears to me that ...
2
votes
1answer
116 views
Used ToD life insurance to pay estate bills; any tax benefit to the insurance beneficiary? (USA)
The deceased owned the life insurance policy and named a single beneficiary to receive the insurance money (transfer on death).
That single beneficiary used all of the life insurance proceeds to pay ...
2
votes
1answer
102 views
How is the federal tax credit on EV's applied?
My current vehicle is on it's death bed and I am trying to do my research before purchasing a new all electric vehicle and one of my biggest
considerations is the utilization of the federal tax ...
1
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0answers
31 views
Can sales tax in a foreign country be used as credits to offset US taxes?
Say you are an American citizen living in the UK.
You are required by [draconian] U.S. law to pay full taxes on your income as though you are resident in the U.S. However, there are several treaties ...
1
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0answers
46 views
Avoid wasting Canadian tuition credit with double taxation on Canadian Income in US
I live in US with income in Canada and have a large amount of unused tuition tax credits in Canada.
My understanding is that when doing US Tax I should report my full Canadian income and the amount ...
3
votes
1answer
128 views
Foreign Tax Credit / form 1116
I have a foreign retirement income. Income tax is withheld at source in a foreign country. As I have to file form 1116 to get the FTC (foreign tax credit) I need to know if such retirement is a “...
3
votes
3answers
1k views
Federal ID number for West London University
My son is attending West London University and I need to fill out tax form 1098T for the IRS to get the American Opportunity Credit. They are asking for the university's "Federal ID number" (It may ...
3
votes
3answers
1k views
Can I increase value of non-refundable credit by paying less taxes?
I'm in the United States. The Child Tax Credit is a non-refundable credit of $1000.
Scenario 1 : I do my taxes at the end of the year and before applying the credit I owe $1000, then presumably ...
3
votes
3answers
171 views
Why don't “normal” tax credits apply towards self-employment tax?
This is a USA tax question.
Preparing my taxes (regular form 1040), I noticed that the "Other Taxes" section comes after the "Tax and Credit" section. I have some "wages, salaries, tips" income, ...
3
votes
3answers
655 views
Does the increase in the Child Tax credit affect the Empire State child credit as well?
NY state has a tax credit called the Empire state child tax credit. According to the description of this credit on the NY state department of finances website
If you claimed the federal child tax ...
10
votes
3answers
1k views
Can you be penalized for setting an arbitrarily high number of allowances on your W-4?
I withheld too much in taxes this year. I will benefit a good amount from the Lifetime Learning Credit, which I hadn't heard about until today. Even if I don't pay a cent in taxes for the rest of the ...
4
votes
1answer
58 views
In what order do solar (rolling) and EV (non-rolling) tax credits stack?
Location: Texas, USA.
Background: This year I installed a solar system on my house and bought an EV. Both have a tax credit associated with them. The EV credit ($7,500) does not roll over to next ...
4
votes
1answer
151 views
US - educational tax credit on imputed income for educational expenses?
My wife is employed by a university. Up to a certain monetary amount, she can take classes with no financial or tax impact. (I believe this amount is set by the IRS but that's not at issue here.) ...
1
vote
1answer
633 views
Can you claim a training course in Canada if you are provided a receipt but not a T2202A form?
I completed a 200h Yoga Teacher Training course in Canada but noticed that most yoga schools are not HRSDC certified providers, so am wondering if tuition tax credits can still be claimed?
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1answer
95 views
Are the education credits given on your taxes based on the amount of your expense, or is it a base amount of credit no matter your expenses?
My daughter needs to prove her education expenses for the education credits she received on her 2014 taxes. This was her first year filing taxes and she did use a tax lady. The tax lady has told us we ...
3
votes
1answer
151 views
Tax relief on UK salary income
I am tax-resident in the USA and non-resident in the UK. I receive income from my former UK employer (in the form of stocks vesting in the UK) on which I pay UK income tax.
Is this type of income ...
6
votes
1answer
191 views
ACA Premium Tax Credit - Claiming for prior year
At the start of the year I did not think I would qualify for the subsidy, but as things have turned out my income was less than the maximum.
The health plan I used was available both through the ...
0
votes
1answer
389 views
Tax question for US citizen with postdoctoral fellowship in Europe
I have received an offer for a postdoc in Europe. The postdoc gets paid a scholarship that is not taxed in the European country. I will be living in this country 12 months out of the year and will ...
3
votes
1answer
75 views
Nonbusiness Energy Property Credit for 2015 Taxes (USA Taxes)
In December of 2015, I had a new home A/C and furnace system installed. I wrote the check to the installer in January of 2016 for the job.
I just found out that in December of 2015, congress extended ...
3
votes
1answer
257 views
Claiming foreign tax credit by amending a tax return
I am a Norwegian citizen who has been living and working in the US (California) as a resident alien since October 2014. These were my major sources of income in 2015:
Wages from my American employer
...
1
vote
3answers
253 views
Should I File as an Independent in Order to Claim the American Opportunity Tax Credit?
My financial circumstances:
I am a full-time undergraduate student employed by the university through the federal work-study program.
I expect my total income for the year of 2016 to be a little over ...
0
votes
1answer
59 views
Get rebate if investment tax credits exceed taxes due?
If I get a large investment tax credit that exceeds the taxes that I owe, do I get a tax refund, or is the credit lost? If excess credits cannot be turned into a refund can I defer them to another ...
3
votes
1answer
96 views
Will I lose the AMT tax I paid if my startup fails?
I recently parted ways with a startup. I was granted options and now must exercise them. When I exercise them, I will incur the Alternative Minimum Tax (AMT).
If the company fails and goes bankrupt,...
1
vote
1answer
393 views
Foreign Tax Deduction vs Credit
As I understand it, the Form 1116 Foreign Tax Credit is intended to allow you to avoid double taxation on foreign income. You are allowed a credit up to the amount of US tax that is due to the ...
1
vote
1answer
242 views
School didn't add tuition for spring semester to 1098-T. Can I still claim it?
I graduated college in May 2015 after completing my spring semester. I later received the 1098-T from my school.
My school only listed my $200 lab fee for the spring semester because they ...
2
votes
1answer
431 views
Can MOOCs be treated the same as university for taxes (US)?
Without understanding a lot about taxes, I know that there are several tax credit opportunities for college students in the US (The American Opportunity tax credit, Lifetime Learning Credit, etc).
...
1
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2answers
10k views
Can I claim GST/HST Input Tax Credits (ITCs) on Uber, taxi, or limousine fares?
Uber invoices do not include a GST/HST number, and tax is not separated. On the other hand, Uber drivers ARE required to be registered for GST/HST and collect & remit the tax.
http://...
4
votes
1answer
178 views
How is the obamacare tax credit calculated?
In the first 9 months of this year I had a relatively high income. However, I have no income since October. I used to have health insurance from my employer but now I am trying to get health insurance ...
2
votes
1answer
214 views
Do you pay any tax on dividends up to £30k?
I'm a bit confused how dividends are taxable.
Assuming I want to take ~£30k dividends ('tax credit' excluded) on which I will use my ~£10k personal allowance. Do I pay any income tax from it (from ...
2
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0answers
79 views
Understanding the Home renovation tax credit in ontario
I am trying to figure out the home renovation tax credit
Does it only apply to the home I live in? If I currently live in a rental property but am allowed to do renovations, can I apply for the ...
0
votes
1answer
84 views
Tax exemptions for US stocks held in a Candian account
As a Canadian, if I buy US stocks and receive dividends in a non tax sheltered account, then those dividends are not suited for dividend tax credit. Also, if I sell and incur a gain(within 1 yr), do I ...
