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New Member
posted Jan 8, 2021 3:22:09 PM

Where can I find the homestead tax credit for Iowa?

My wife and I are first time homeowners in 2020. We found a place to enter our Mortgage Interest Credit Certificate info, but can't a place to enter our Iowa Homestead Tax Credit.

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4 Replies
Expert Alumni
Jan 8, 2021 3:56:58 PM

You can apply for the Iowa Homestead Tax Credit by filling out Homestead Tax Credit Application 54-028.  For additional information and for a copy of the application, please go to the Iowa Department of Revenue web site. 

New Member
Jan 8, 2021 7:03:54 PM

We've already applied for it and been approved by the State of Iowa... I'm wondering how we include it in our TurboTax reporting. There's a plethora of tax credits available in state reporting, but the Homestead TC isn't an option.

Level 15
Jan 8, 2021 8:56:45 PM

You are confused because of the word "tax"   ... the HOMESTEAD tax credit  reduces your REAL ESTATE taxes  it is NOT an INCOME tax credit on the state income tax  return thus there is no place to enter it.   

 

You file the application to have a homestead exemption put on the property so you pay less RE taxes  not less income taxes   ...  https://tax.iowa.gov/sites/default/files/2020-01/HomesteadTaxCredit%2854028%29.pdf

 

Level 15
Jan 9, 2021 10:38:05 AM

Check your filing instructions carefully.

In my state, you do not subtract your homestead rebate credit from your state property tax deduction on your state tax return.