Our IRS-certified volunteers are trained to identify the credits you are due and deserve. We work in partnership with Claim It! (a community initiative) to make sure you're aware of the credits you've earned them.
Here is what you need to know.
There are two types of credits -- refundable and non-refundable. Both can help you to pay fewer taxes and receive a larger refund.
Who qualifies? Single or married people working full- or part-time in 2011. With the American Reinvestment and Recovery Act (ARRA), qualifying income levels have been raised depending upon number of children.
Amount? This refundable credit could be as much as $5,751 depending upon qualifications.
Who qualifies? Single or married worker with a child under age 17. With ARRA, the minimum earned income has been reduced to $3,000 for the refundable portion of the credit, the Additional Child Tax Credit.
Amount? A refundable federal credit worth up to $1,000 in 2011 for each child under age 17.
Who qualifies? First four years of college and eligible expenses including tuition, books and supplies needed for class.
Amount? The nonrefundable portion of the credit amount is up to $2,500. Up to $1,000 of the credit may be refundable depending on the amount of taxes you owe.
Who qualifies? Taxpayers contributing to a retirement plan or IRA. Income must not exceed $28,250 if filing single or married filing separately; $42,375 if filing head of household; and $56,500 if married filing jointly.
Amount? Non-refundable credit reduces amount of income tax owed by up to 50% of a maximum $2,000 contribution to retirement plan or IRA.
This refundable credit is based on the rules for the EITC. If you qualify for EITC, you will most likely qualify for Minnesota Working Family Credit.
Who qualifies? Families with one or more qualifying children and income less than $37,500. Maximum income to qualify increases by $2,000 for each additional child.
Amount? If you meet the income guidelines, you receive a refundable education credit of 75% of eligible expenses up to $1,000 per child. Eligible expenses include (but are not limited to): tutoring, books and materials, fees paid for lessons, computers and more. Must be able to show receipts. The education subtraction is nonrefundable and has no income restrictions.
Who qualifies? Renter's with a household income less than $54,620 and homeowners less than $100,780. Renters need a Certificate of Rent Paid (CRP) from landlords and homeowners need property tax statement payable in 2011.
Amount?
A refundable credit for renters of up to $1,550 and for homeowners
up to $2,460.
I will use my refund to pay bills, pay down debt, save for an emergency and probably upgrade my education to find a job. This service is essential because I usually pay out more than $200 dollars! It has been a long time coming, but a change has come. More money! More independence!
- Vernita, AccountAbility Minnesota customer
