Discussion:EIC
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Pudding Man (talk|edits) said: | 7 March 2007 |
| Retired client has $12,375 in (1099) Misc. Income and $0.0 W2
earnings for 2006. He worked about 6 weeks as an independent consultant. AGI is $9285. I'm inclined to think he qualifies for Earned Income Credit, but the numbers won't flow thru the (1040 instruction) worksheet, which indicates that, if no 1040 line 7 (W2) income, no EIC. Pub 17 says if AGI < 12,XXX, he qualifies. I guess the question is: does (1099) Misc. Income qualify as "Earned Income"? If so, what worksheet to use? Thx, Puddin' | |
| March 7, 2007 | |
| Yes, if your client (or his spouse, if MFJ) is under age 65. If under 65 applies, did you you enter the income and expenses on Sch C and answer the questions relating to the EIC? If 65 or older, the EIC is not available. | |
Pudding Man (talk|edits) said: | 7 March 2007 |
| No, I just tried to run thru the worksheet, hopefully to confirm that he
qualifies. I'll download Sch C and see if that doesn't help. He's 60. Thanks, Puddin' | |
| 7 March 2007 | |
| Check to make sure that he has SE income. If not, then he is out of luck. | |
| March 7, 2007 | |
| Well, Schedules C and SE need to be completed before your software will compute the EIC. | |
Pudding Man (talk|edits) said: | 7 March 2007 |
| Oooops. Lost it, here.
Client has $12k 1099 income listed as Misc. Income. Client is -not- self-employed. Is retired, but snags a tiny bit of consulting work every (maybe) 5 years. I'm doing this one w/o software. Thx, Puddin' | |
