Residential Energy Credit - Form 5695

Forum|Forum|2 years ago
February 28, 2024
3 replies
13 views

I am trying to take the residential energy credit for my clients, married filing jointly. One of the parties is self-employed. I completed form 5695. However, the credit is being carried forward to 2024, Their information is:

AGI $36,368
Standard Deduction (29,200)
QBI ( 1,434)
Taxable Income 5,734
Tax 573
Other Credits (not energy) (573)
Other Taxes (Sch C self emp) 3,151

I think I just answered my own question. Is my client's tax credit being deferred to 2024 because it is not applied against self-employment taxes?

Thank you in advance for any help.

ProSeries Basic

This topic has been closed for replies.

Best answer by Just-Lisa-Now-

Yep, it only offsets Income Taxes, not Self Employment taxes.

Camp1040

Level 10

It is a non-refundable credit, can't be more than your income tax liability.

Just-Lisa-Now-

Answer

Intuit Community Champion

Yep, it only offsets Income Taxes, not Self Employment taxes.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

T

TaxGuyBill

Level 15

@catherine3 wrote:

Is my client's tax credit being deferred to 2024 because it is not applied against self-employment taxes?

What item did they purchase that qualifies for the credit? If it is on page 2 of the 5695, the credit will NOT be carried to next year. Only credits on page one qualify to be carried to future years.

C

catherine3Author

Level 4

They purchased solar panels for their primary residence. It is on the first page. I hope it carries over to 2024:

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