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I got $1000 Federal Credits is this part of the tax return and do I have to pay it back?

 
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3 Replies
ColeenD3
Expert Alumni

I got $1000 Federal Credits is this part of the tax return and do I have to pay it back?


For what purpose is the Credit? For dependents? For Education?

 

There are several credits available on the Federal return. If you answered all the questions correctly and received a credit, then you are entitled to it.

 

You can look at your return to determine why you got the credit.

 

To view your return follow these steps:

Open your return.

  • Tax Tools on the left
  • Tools
  • View Tax Summary
  • Preview my 1040

I got $1000 Federal Credits is this part of the tax return and do I have to pay it back?

Thanks the credit was file for education. 

BillM223
Expert Alumni

I got $1000 Federal Credits is this part of the tax return and do I have to pay it back?

Credits are amounts that you are "credited" with as if you had paid the IRS.

 

You do not normally have to send it back unless you get a letter from the IRS saying that they found a problem with your return.

 

I can't tell from the post so far, but if you received the American Opportunity Tax Credit (AOTC), then you perhaps saw your refund increase over and above what you had withheld. This is how a refundable credit (which the AOTC is) operates, and no, you do not have to pay this back.

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