Why isnt she receiving all of her Fed witholding?

[AZ-Tax]

fFiling Single w/AGI: 15673 taxable income: 6723 claiming herself.

She had $983 of Fed inc tax withheld and she has a 1098-T (hope credit) of $800 for which she received $160 tax credit. I know this is non refundable, does the unused credit carry forward?

Why is she only receiving $968 refund? I would think she would receive all of her withholding, the full $983.

[Koss]

Recovery Rebate Credit

What was the amount of her stimulus check?

Either you or your software are not accounting for her rebate properly.

Assuming for the moment that she cannot claim the Recovery Rebate Credit, then I don't see why you think she should get a full refund of her withholding.

With taxable income of 6723, she has tax liability of 673. Her education credit is 160, which reduces her tax liability to 513. Her withholding is 983. That would give her a refund of only 470.

Does your original post have a typo in it?

If she got a stimulus check of $300, then her RRC would be 198. That would make her refund 668 (Not 968).

BMK

[Gary]

Hope

Your original Post said Hope Credit. That would be the total amount, not 20% (as in the Lifetime Learning Credit).

[AZ-Tax]

Little more clarity...

This taxpayer did not receive a 2008 stimulus check and the $160 was the total hope credit for the $800 on the 1098-T.

[Gary]

Hope Credit

Hope credit should be 100% of the $800. Lifetime learning credit is 20% of $800 which is $160.