Energy Credit

[maggy T]

Why do I Have the remaining Residential energy credit as refundable instead of a carryover for next year?

[DawnC]

Energy credits are not refundable.   Where are you seeing this?  

Energy Credit Carryover

[maggy T]

On Turbo Tax, as I have finished my income taxes,  it reflects a refund of the balance of my energy credit.

[DawnC]

When did you originally claim the credit?   Look on Form 5695 which is included with your return.   The amount of credit you can claim this year is on line 15 of that form - it gets transferred to Schedule 3, line 5.   The amount you can't take this year is carried over and will show up on line 16 of Form 5695.  

[Opus 17]

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@maggy T wrote:

On Turbo Tax, as I have finished my income taxes,  it reflects a refund of the balance of my energy credit.

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You can't get a refund of more than your tax liability, but that is not the same as not getting a refund.  For example, suppose you had $8000 of federal tax withheld from your paychecks on your W-2, and your tax liability without the credit is $7500.  You would expect a $500 refund.  If you then add a $7500 energy credit, it can be fully applied against your $7500 tax liability so you would get a full refund of the $8000 that was withheld.