Using 2019 EIC. Repeatedly updates to combat pay...

Forum|Forum|4 years ago
February 11, 2022
3 replies
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I'm using 2019 EIC and it automatically inputs combat pay. Which I don't have combat pay. I then manually correct the combat pay amount to $0.00 and continue. Then when I get ready to file it proceeds to ask me to input combat zone. Why does it continue to do this if I have no combat pay ? I don't want to file incorrectly but it repeatedly automatically updates the combat pay to last year's EIC amount.

Critter-3

Level 15

FIRST ... you do not use the any AGI figure ... you must use the earned income which may not be the same figure. And if you had non taxable combat pay then that amount would not be in box 1 of the W-2 ... it would only be reflected in box 12 with a code Q.

Then the 2021 EIC allows you to use the 2019 earned income on both the 2020 AND the 2021 returns ... you cannot use the 2020 earned income for the EIC "lookback" option.

VolvoGirl

Level 15

You can look back and use your 2019 income for the EIC credit instead of 2020 & 2021. How to use the Lookback provision

https://ttlc.intuit.com/community/earned-income-credit/help/how-do-i-use-the-lookback-provision-to-maximize-my-earned-income-credit-or-additional-child-tax/00/2134907

RacvaraAuthor

Level 2

Sorry. Yes u are correct about not using the AGI for the EIC. When it ask to look back and use 2019 EIC it automatically fills in the line for Combat pay. I will delete the amount and put $0.00 for Combat pay then I continue with my tax preparation then at the end before filing it asks for location of combat zone and takes me back to the 2019 EIC and the amount of my EIC is shown as 2019 EIC and also Combat pay.

Critter-3

Level 15

If your W-2 from 2019 had a code Q and an amount in box 12 then LEAVE that amount in the place ... do not zero it out ... if it came thru automatically then there was a reason ... the program will decide if using it gives you a better result or not.