Solar Credit Carry Forward

Forum|Forum|6 years ago
February 8, 2020
4 replies
0 views

Hello,

I am using Turbo Tax and entered the information on the installation of my solar panels. The credit is being applied to 2019 and carrying forward to 2020. Is there a way to get the full credit in 2019 with no carryover to 2020?

Texas Roger

Level 15

The solar credit is a non refundable credit meaning that it is limited by the amount of tax liability shown on your tax return. Once this credit, or any other credits with higher priority than this one, use up your liability and reduces it to $0, you can't get any more credit on this year's tax return. Credit that you can't use on this year's return can be carried forward to later years.

muaddib1st

Level 2

I had a tax credit from 2020 that was suppose to carry over. After completing this portion of the tax return, it is saying that it is rolling over again to 2022. I'm suppose to pay that to the finance company to assure a certain payment and now I won't be able to do that. Why am having to roll it over again?

DaveF1006

Level 15

Since the credit is a non-refundable credit, there may not have been enough tax liability this year to apply the credit to.

To verify this, if you are using Turbo Tax Online:

Go go tax tools>tools
View Tax Summary
Preview my 1040
Look on Line 18 on the 1040
If the amount is Zero, then there isn't any tax to apply the credit to
If the mount on Line 18 is less than the credit, some of it may have been used to zero out line 18 and then the unused remainder is carried over into the next year.

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DS701

Level 2

Can an energy tax carry over be taken in the same year as the filing year. If no why not..

DianeC958

Level 12

No, if 2019 is the year you filed the Solar Energy Credit and there is a carryover amount you cannot use the carryover amount until you file your 2020 tax return.

The Solar Energy Credit is a non-refundable credit that will reduce your tax liability to $0 any additional amount is carried to 2020.

@DS701

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JMorse2018

Level 2

Where and how do I enter the carryover amount for my solar panels that I claimed last year? Last year I was able to take the credit but it was more than my taxable amount so it rolled forward but I can't figure out where to find that amount and where to enter it in Turbo Tax.

luvstobowl

Level 2

I had almost 5K in carry forward from last year but when I applied it to this year's return, my federal refund did not go up. Why not?

DMarkM1

Level 15

The solar credit is non-refundable; meaning it is only applied to reduce your tax to zero. Since you were already getting a refund there was no tax to reduce.

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