Zero taxable income gets $1000 refund!

[Possi]

I was most pleasantly surprised when I filed a return with no taxable income and they got $1000 back for refundable child tax credit.

My client was in Iraq the entire year, so there was $0 in box one wages. Of course, wages were there for FICA and the "Q" code was in there with the total wages.

One would be inclined to say they weren't required to file, with no taxable income, but I thought differently.

Just throwing this on the board in case another might be inclined not to file a return at all.

By the way, when I told his wife they were getting $1000 in free money, her response was, "Is that all we are getting?"

We are becoming a nation of takers......... =(

[solomon]

She might be right. Combat pay can be used for EIC.

[Possi]

Combat pay and EIC

I believe they might qualify for some EIC because his W2 Box 2 wages are 34,650 with one child, MFJ. The phaseout is 36,995. I don't think it is much, but I did not send the return yet because I think they should get at least a little more.
I can't get my Taxwise program to bite it, so I'm sending the return to them for advise.

[ChEAr$]

Taxwise

I believe they might qualify for some EIC because his W2 Box 2 wages are 34,650 with one child, MFJ. The phaseout is 36,995. I don't think it is much, but I did not send the return yet because I think they should get at least a little more.
I can't get my Taxwise program to bite it, so I'm sending the return to them for advise.

will handle this correctly. I think you need to make sure you enter every detail from the
DFAS W2. there is a code on the W2 which relates to combat pay.