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We purchased an electric heat pump in 2023. It qualifies for a $2000 tax credit. The credit appears like it should on all the forms except the federal tax credit block.

It does not appear on our 1040.  Is this being corrected?  When do you expect it to be fixed?
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2 Replies
DawnC
Expert Alumni

We purchased an electric heat pump in 2023. It qualifies for a $2000 tax credit. The credit appears like it should on all the forms except the federal tax credit block.

Form 5695 is still being addressed.  Use this link to sign up for notifications for Form 5695.   Sign up for Form 5695 notifications.    Remember, though, the energy credit is non-refundable, so it can't reduce your tax liability past $0.   If you don't have a tax liability, you can't take the credit.   Look at your form 1040.   Subtract Line 19 from Line 18, that is your tax liability available for energy credits.   

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We purchased an electric heat pump in 2023. It qualifies for a $2000 tax credit. The credit appears like it should on all the forms except the federal tax credit block.

If you were eligible for the credit the amount would be on the Form 5695 Line 32.  This amount flows to Schedule 3 Line 5b.  The total from Schedule 3 Line 8 flow to the Form 1040 Line 20.

 

If your tax liability was 0 on the Form 1040 Line 18 the credit will not be used.  If the tax liability on Line 18 is not 0 then the credit will be shown on Line 20.

 

Look at your Form 1040 and Schedule 3-

You can view your Form 1040 plus Schedules 1, 2 and 3 at any time using the online editions. Click on Tax Tools on the left side of the online program screen. Click on Tools. Click on View Tax Summary. Click on Preview my 1040 on the left side of the screen.

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