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Why doesn’t turbo tax use the full amount of my 2023 form 5695’s line 16 carry forward to cover the taxes due for 2024?

2023 form 5695 line 16 = $8568.30 2024 tax due $6100 TurboTax only allows a solar tax credit of $1400 carrying forward the remaining $7100
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1 Reply
KrisD15
Expert Alumni

Why doesn’t turbo tax use the full amount of my 2023 form 5695’s line 16 carry forward to cover the taxes due for 2024?

Is part of the tax due include Self-Employment tax? The energy credit cannot offset self-employment tax or other additional taxes listed on Schedule 2 such as -

Alternative Minimum Tax

Additional Medicare Tax

Tax on HSA or Archer MSA

 

Please look at your 1040 line 22 to see if the credit zeroed out your tax liability before the extra items (taxes) are added on line 23.

 

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