SOLAR CARRY FORWARD 2023

Forum|Forum|2 years ago
February 19, 2024
1 reply
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I am adding in all the information for my solar credit carry forward from 2022 and it shows a credit of $5k but when complete it and go to the overview it shows $0 and does not change my refund. Does anyone see this or know what causes it? Tech support was no help. I have done all the usual delete the form and redo it, clear cash, and try different browsers.

TurboTax PLUS Online

Vanessa A

Level 15

Do you have a tax liability? The energy credits are Non-Refundable credits

A nonrefundable credit is limited in how much it helps you when you have no tax liability or less liability than your credit. This would be the reason you have a carry over from last year. You did not have enough tax liability to fully use the credit. Look at line 16 on your 1040, then also look at line 24. If the amount on line 16 is less than the full credit, then this is the maximum amount of the credit you use this year will be that number. If you have other credits, that may also reduce the tax liability, this may also reduce the amount of the credit you receive.

Then look at line 24. If this line is $0, then you received one of more credits that brought your taxes down to $0. If this is the case, and you had multiple nonrefundable credits, you may not get the full credit for one or more of the credits.

Also, look at form 5695 line 16. This will tell you if the credit was acknowledged and is being carried forward to 2024.

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cbrcowboyAuthor

Level 2

Very concerned with the accuracy of the online forms. I have done my tax on three other sets of online tax preparation (not filing just verifying) and all gave me the credit. This shows that Turbo Tax was cutting my refund down by over $4000. Looks like there is a technical issue with your software and the solar credit.

cbrcowboyAuthor

Level 2

For some reason, that is the way the program is written. When it is a carryover credit, it does show a $0 amount on the page where you are able to go back and edit that section. My test case using TurboTax Premium Online is doing the exact same thing.

However, when looking at the Form 1040 and Form 1040 Schedule 3, the energy credit is shown. Take a look at the screenshots below. All numbers are made up, but I entered a $3000 carryover credit amount.

This is the main page of Form 1040. Line 18 shows that there is enough income tax liability to allow the energy credit to be claimed. Line 20 shows an amount being brought to the main Form 1040 from Schedule 3 -- this amount represents the energy credit carryover that was entered.

Scrolling further down the page, Schedule 3 shows the $3000 energy credit coming from Form 5695.

You should Preview your Form 1040 and double check the entries I've shown here. This is your actual tax form and not just a summary entry in TurboTax that may or may not be accurate. It is hard to determine what the developers had in mind when writing the program, but unless you look at your actual tax forms you cannot be sure there is an issue.

@cbrcowboy

I do see the form is correct but it is not carrying it over and showing that it will be in my reurn. It is still shorting me over 4$k.

@AnnetteB6