Credit tax forms

This section will cover common tax credits you may be looking for when you file your return.

  • CTC, Child Tax Credit

    The Child Tax Credit is a program designed to offer financial help to families with children. It provides a tax break to eligible parents or guardians which reduces their tax bill or increases their refund.

    We ask about this under "Credits and Deductions" > Child tax credit.

    Here's what you need to know about the credit:

    • The Child Tax Credit can either reduce the amount of income tax you owe or provide a refund if you don't owe any taxes.
    • The amount varies, depending on factors like your income, filing status, and the number of children you have. See the current IRS guidelines here:
      To be eligible, you must have at least one child who's under the age of 17 by the end of the tax year and who has a valid Social Security number — meaning they're a US citizen or permanent resident.
    • To claim it, just file your taxes by going through the flow. We'll automatically add it to your return based on the income and household details.
  • Form 8863, Education Credits

    ​​This tax form allows eligible taxpayers to reduce their tax liability by claiming credits for qualified education expenses they paid during the tax year.

    Form 8863 is used to claim one of two main education credits: the American Opportunity Credit and the Lifetime Learning Credit.

    American Opportunity Credit: Available for eligible students pursuing a degree or other recognized educational credential. It provides a credit of up to $2,500 per student per year for the first four years of post-secondary education.

    Lifetime Learning Credit: Available for both undergraduate and graduate students, as well as those taking courses to acquire or improve job skills. It provides a credit of up to $2,000 per tax return, regardless of the number of students.

    To claim either credit, you must meet certain eligibility requirements. These include:

    • Being enrolled at an eligible educational institution.
    • Being in a degree, certificate, or other recognized educational credential program (for the American Opportunity Credit).
    • Having paid qualified education expenses, such as tuition, fees, and required course materials.
    • Meeting income limits and other criteria specified by the IRS

    You donʻt have to worry about filling out this form when you file with us. Just be sure to include your school information under the "Credits and deductions" section of the filing flow so we can determine which credits you are eligible for.

  • Form 8880, Credit for Qualified Retirement Savings Contributions

    This tax form is used to claim the Credit for Qualified Retirement Savings Contributions. It's designed to encourage those with lower incomes to save for retirement. Eligible plans include:

    • Traditional IRAs
    • 401(k)s
    • 403(b)s
    • Thrift Savings Plan (TSP)

    To be eligible for the credit, you must meet certain requirements, including:

    • Being at least 18 years old.
    • Not being a full-time student.
    • Having adjusted gross income (AGI) below a certain limit, which is determined each year by the IRS. The specific income thresholds may vary depending on your filing status.

    The credit amount is a percentage of the contributions you made to your eligible retirement savings plans during the tax year, up to a certain limit. The percentage ranges from 10% to 50%, depending on your income level and filing status. The maximum eligible contribution for the credit is $2,000 per taxpayer.

    To claim the credit, report your IRA information under the "Credits and deductions" section in the filing flow of the app. We will help you determine whether or not you are eligible for the credit.

  • Form 8812, Credits for Qualifying Children and Other Dependents

    Your eligibility for the Child Tax Credit is determined by the information you report in the “Household Details” section of the filing flow, which you can find under Household Details.

    A refundable tax credit is a type of credit that can reduce a taxpayer's liability beyond zero, resulting in the possibility of a refund. 

    The Credits for Qualifying Children and Other Dependents include:

    • Child Tax Credit 
    • Additional Child Tax Credit
    • Credit for Other Dependents
    • Earned Income Credit 

    These credits can help reduce your tax liability or provide a refund based on your eligibility. To determine your eligibility and calculate these credits, just be sure you’ve included all of your information, including your income and dependents, on your return. Based on this, we’ll automatically help you apply for any credits youʻre eligible for.

  • Form 8835, Renewable Electricity Credit

    This credit is available to individuals or businesses that generate electricity from qualified renewable resources, such as wind, biomass, geothermal, landfill gas, hydropower, and solar energy. You'll report renewable energy under the "Credits and deductions" section of the filing flow.

    Here are some tidbits to remember:

    1. This credit encourages homeowners and business owners to invest in clean energy sources.

    2. To claim the credit, you must meet certain requirements, including:

      a. Owning a qualified renewable energy facility that generates electricity. This could include wind farms, solar farms, geothermal power plants, and hydropower plants, among others.

      b. Beginning construction or placing the facility into service before a specific deadline. The IRS sets deadlines for each renewable resource type, and it's important to adhere to them.

      c. Meeting specific production requirements. The amount of credit you can claim may be based on the electricity produced by the facility.

    3. The credit amount varies depending on the type of renewable resource used and the date the facility was placed in service. The credit is calculated based on the kilowatt-hours of electricity produced from qualified sources.

    4. To claim the credit when filing in the Keeper app, just be sure to add your Renewable Energy information under the "Credits and deductions" section of the filing flow.
  • Form 8962, Premium Tax Credit (PTC)

    The PTC is a tax credit provided to eligible individuals and families who obtained health insurance coverage through the Health Insurance Marketplace.

    Here are some important points about Form 8962 and the Premium Tax Credit:

    1. The Premium Tax Credit is calculated based on your income, household size, and the cost of premiums for a benchmark health insurance plan in your area. The credit will limit the amount you pay for premiums to a certain percentage of your income.

    2. When you file your return with us, you’ll need information from Form 1095-A, which is sent to you by the Marketplace. Form 1095-A provides details about your health insurance coverage, including the premiums you paid and any advance premium tax credits you received.

      Health insurance premiums are the amounts you pay, often monthly, for your health insurance coverage. An advance premium tax credit (APTC), on the other hand, is a type of subsidy provided by the federal government to help eligible individuals or families with low to moderate income afford health insurance premiums. This tax credit is applied in advance, directly to your monthly premiums, which lowers the amount you have to pay out-of-pocket for your health insurance. This will allow us to properly report your credit when you file.

    This credit is used to reconcile the credits you received throughout the year with the actual credit you’re eligible for at tax time. If the advance payments were too high or your income was higher than estimated, you may need to repay a portion of the credit. On the other hand, if your income was lower than expected, you may be eligible for a larger credit. Be sure to enter your healthcare information under the "Credits and deductions" section in the filing flow so we can determine your eligibility for the PTC.

  • EITC, Earned Income Tax Credit

    This tax benefit is provided by the US government to support low and moderate-income working individuals and families. The EITC is designed to reduce the amount of taxes owed and, in some cases, provide a refund to eligible taxpayers Here’s a helpful blog to learn more.

    Be sure to tap on the EITC section when in the "Credits and deductions" section and our tax team will figure out whether you qualify. 

    Things to remember:

    1. The EITC is a refundable credit, which means that if the credit exceeds the amount of taxes owed, you may receive a refund. Generally, the credit increases as the number of qualifying children increases, up to a certain limit.

    2. To qualify for the EITC, you must meet certain requirements, including:

      a. Having earned income from working for someone else or running your own business.

      b. Meeting specific income limits. The income limits vary based on your filing status, and the number of qualifying children you have.

      c. Filing a tax return, even if you’re not otherwise required to do so.

    3. The amount of the credit gradually decreases as your income goes up, depending on your filing status and the number of qualifying children you have. A qualifying child must meet certain criteria, including age, relationship, residency, and dependency requirements. It's important to check the current income limits and phase-out ranges to determine your eligibility for the credit.

    4. Much like the Child Tax Credit, we'll take the information you include on your return to determine your eligibility for this credit. If you qualify, we'll automatically include it on your return when you file.