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macgregor65
New Member

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but it keeps saying i don't. How can this be corrected?


14 Replies
Anita01
New Member

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

Why is it saying you don't qualify?
macgregor65
New Member

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

Isn't specific, just says "It turns out you don't qualify for this credit".
macgregor65
New Member

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

I meet all 4 requirements.
SteamTrain
Level 15

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

What kind of contributions did you make?

And if  shown on your W-2...which box are those contributions shown?
____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
Anita01
New Member

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

Are you being refunded all the tax you had withheld
dmertz
Level 15

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

This credit is a nonrefundable credit.  It cannot be used to reduce your income tax below zero.  It cannot be used to reduce other taxes that are on Schedule 4.
macgregor65
New Member

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

401k contributions, box 12a on W2. $8001 withheld, $5031 refund. had refund last year and got the credit?
dmertz
Level 15

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

For 2018 the standard deduction is double what it was in 2017.  The higher standard deduction has potentially reduced your taxable income to where your tax on Form 1040 line 12 is already zero without this tax credit.
Coleen3
Intuit Alumni

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

Did you take a distribution?
macgregor65
New Member

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

100% was paid to fed taxes, no principle came to me.
Coleen3
Intuit Alumni

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

If you took money out of an IRA or 401k, this could be the reason. Also, your eligible contributions may be reduced by any recent distributions you received from a retirement plan or IRA.
<a rel="nofollow" target="_blank" href="https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-savings-contributions-save...>
Line 4 Enter the total amount of distributions you, and your spouse if filing jointly, received after 2015 and before the due date of your 2018 return (including extensions) from any of the following types of plans. • Traditional or Roth IRAs (including myRAs), or ABLE accounts. • 401(k), 403(b), governmental 457(b), 501(c)(18)(D), SEP, or SIMPLE plans. • Qualified retirement plans, as defined in section 4974(c) (including the federal Thrift Savings Plan).
<a rel="nofollow" target="_blank" href="https://www.irs.gov/pub/irs-pdf/f8880.pdf">https://www.irs.gov/pub/irs-pdf/f8880.pdf</a>
dmertz
Level 15

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

A distribution that went all to tax withholding is still a distribution.  It's roughly equivalent to the distribution being paid to you which you then use to make estimated tax payments.
macgregor65
New Member

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

Got it. Just a confusing situation. Thanks!
Coleen3
Intuit Alumni

The retirement contributions savings credit is not calculating correctly. I qualify and have tried multiple times but keeps saying i don't. How can this be corrected?

If there was a distribution, regardless of whether or not you got the money in your hands, it counts.

Line 4 Enter the total amount of distributions you, and your spouse if filing jointly, received after 2015 and before the due date of your 2018 return (including extensions) from any of the following types of plans. • Traditional or Roth IRAs (including myRAs), or ABLE accounts. • 401(k), 403(b), governmental 457(b), 501(c)(18)(D), SEP, or SIMPLE plans. • Qualified retirement plans, as defined in section 4974(c) (including the federal Thrift Savings Plan).
https://www.irs.gov/pub/irs-pdf/f8880.pdf

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