Hi all,
I’m an IHSS Exempt Care Provider (Live-In) in California, and I’m running into an issue while filing my taxes using TurboTax.
Here’s the situation:
- My W2 has $0 in Box 1 as it's exempted from Federal tax. My Box 3, 5, 12A have the same wage amount (let's use the fictitious number $5000) . I followed the instruction here and entered my W-2 information in Turbo Desktop Software.
- I checked the box for “Nontaxable Medicaid waiver payments” and entered the full amount from Box 3 (Social Security wages) into the Nontaxable Medicaid waiver payments section.
- However, when I get to the “Earned Income Credit” section under Deductions & Credits, TurboTax says "It turns out you don't qualify for this credit."
I tried a few variations:
- First, I left Box 1 as zero (as it should be).
- Then, I tried filling in Box 1 with the same amount from Box 3 (Social Security wages).
In both cases, I’m getting the same response from TurboTax in the Earned Income Credit section: "It turns out you don't qualify for this credit."
Has anyone else experienced this issue? I’m trying to figure out if I’ve missed something in the process or if this is a common situation for IHSS providers. Any help or guidance would be greatly appreciated!
Thanks in advance for your help!
Screenshot below.
