2022 Turbo Tax Form 5695 - Incorrect?

[AZCams Member 1989]

With all the issues related to 2023 Form 5695 that have been corrected with my update today @ 8:15 am mst.

However, this prompted me to go back to tax year 2022, Form 5695, and review the calculations. Line 30  Credit line, the amount credited was $45.

IRS.gov: Qualified components include new: Exterior doors that meet applicable Energy Star requirements. Credit is limited to $250 per door and $500 total. Exterior windows and skylights that meet Energy Star Most Efficient certification requirements.

• I installed (2) two energy efficient patio doors @ $7,772.50 total cost $15,545.

According the IRS, my credit at most would be $500 - 2 doors. Not $45.

1. Is the 2022 Turbo Tax form 5695 calculating incorrectly?

2. Do I need to AMEND my 2022 tax return?

Appreciate any insight you might have on this matter.

[CatinaT1]

In 2022 the lifetime limit was in place. Was your credit limited due to the lifetime limit?

[AZCams Member 1989]

No, but thanks for asking.

[DaveF1006]

I have checked the 2022 program and recreated the scenario you provided.  I am happy to report that the program is working fine and i received the full $500 credit.

Energy credits are non-refundable credits that are limited by your tax liability for the year.  If you have a copy of your 2022 tax return, I would like for you to look at a couple of things.

1. Look at Line 16 on your 1040. 
2. Now look at line 24, which should be 0.
3. Your energy credit should appear in line 20 along with other credits that may appear in line 19

As i said, your energy credit cannot be more than the amount of your tax liability thus your energy credit reduced your tax liability to 0 which should be recorded in line 24 of your 1040.

@AZCams  Since 1989 

[AZCams Member 1989]

Thank you for taking the time.  Line 24 shows the same amount noted on line 16.  The tax credit (doors - $500), calculated by TT, and as I indicated previously shows $45.  The $45 represents .01% of the total tax liability.

Again, thank you for taking the time.