Discussion:Telephone tax credit: calling cards & part-time

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Discussion Forum Index --> Tax Questions --> Telephone tax credit: calling cards & part-time

Jgb (talk|edits) said:

21 February 2007
Two questions:

(1) If one uses only calling cards for long distance, can they take the standard telephone tax credit?

(2) If one has a land-line phone for, say July 2006 but not any time sooner (i.e. only one of the eligible 41 months), can they take the full standard telephone tax credit?

Deback (talk|edits) said:

February 21, 2007
1 - No

2 - No

Read the instructions for this refund at the IRS site.

Tracyc (talk|edits) said:

21 February 2007
No and No. Sorry. The code is very simple for once and very clear. Good luck.

Tracyc (talk|edits) said:

21 February 2007
There is the "safe harbor" but this only applies to certain telephone services billed from March 1, 2003 through July 31, 2006. According to the IRS the amount goes on line 71 based on the number of exemptions claimed on line 6d of the 1040. It is 30 dollars per exemption. Be sure any clients that claim this refund fall into that date range. The IRS has not yet come forward for people with more than one phone line at least not that I have heard of yet anyway.

If your client benefits from the actual amount of the tax paid than you would need to complete form 8913. Have a good one.

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