TurboTax

Level 2

Solved

Electric Vehicle Credit shows $7500 -Why does it only give me $350

I only have about $1700 liability this year - why doesnt it reduce to zero ?

Best answer by Vanessa11_2

If you look at line 11a on your 1040, your credit cannot be more than that amount. It cannot reduce your self-employment tax.

Level 15

How much is your Self-Employment tax?

Level 2

self employment tax is $2671

Level 2

Actually Total tax is $2671 Myself and my wife

Level 2

Credit doesnt reduce SE Tax ? Wow i didnt know that

Level 13

Nope, credits do not reduce SE Tax. Refundable credits offset what you have to pay, but do not reduce the actual SE tax.

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Level 13

If you look at line 11a on your 1040, your credit cannot be more than that amount. It cannot reduce your self-employment tax.

**Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"

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