Figure B. Steps To Follow To Have the IRS Figure Your EIC

Figure B. Steps To Follow To Have the IRS Figure Your EIC

Summary: This is a portion of a tax return with line items numbered to correspond with instructions listed below describing what the taxpayer should enter (or not enter) on these items if they require the I.R.S. to determine their earned income credit. The text states:

Line 17 Refundable credits: 17a. E.I.C. field contains (1) 17b. Sch 8812 17c. Form 8863
Line 18 Add lines 16 and 17. These are your total payments. field contains (3)
Under "Refund" field contains (4)
(1) Enter E.I.C. in the space to the left of Form 1040,line 17. Then, if you have any of the types of income described earlier under Inmate’s income, Pension or annuity from deferred compensation plans, Medicaid waiver payments, or Clergy, follow the instructions given there. If you received nontaxable combat pay and are electing to include it in your earned income for the EIC, enter the amount of the nontaxable combat pay and write "NCP" in the space to the left of Form 1040, line 17. For details, see Nontaxable combat pay in this chapter.
(2) Complete all other parts of your return that apply to you.
(3) Do not fill in lines that relate to your total payments, overpayment, refund, or amount you owe (lines18, 19, 20a, and 22 (Form 1040).
(4) If you have a qualifying child, complete Schedule EIC and attach it to your tax return.