K well I turned in my taxes only paid like $157 total to the feds for the year...and got a return of 3600 so i was happy...I guess I got it because of the EIC and child tax credit.... I attend college though....and the guy filing my taxes said no point of entering in for hope or lifelong learning credit because my balance was already at zero....is that right would I have recieved more though if I had applied for it? I was confused because I was supposably already at zero when he entered me into the EIC and child tax credit...and he said that those wouldnt return any money so?
Tax..college credits?
Yes, he is right. I assume that you went to a franchise preparer. He was actually trying to save you some money.
Education credits are not refundable. EIC and Additional Child Tax Credit are refundable credits.
If he entered the Education Credits into the computer your tax prep bill would have been higher. And, it would not have made any difference in your refund.
Hope this helps.
Tax..college credits?
Russ is correct. An education credit can only bring your tax liability to zero - which means it%26#039;s a %26quot;non-refundable credit%26quot; and you can%26#039;t get back more than you paid in. The EIC and the Additional Child Tax Credit are %26quot;refundable credits%26quot; which means they can bring your tax liability below zero and allow you to get back more than you paid in. Hope that explains it well enough. Therefore, why pay your tax preparer for another form which will not change your tax situation.
Tax..college credits?
Assuming that your tax liability was already $0 BEFORE the EIC and CTC then he did it properly.
No comments:
Post a Comment