Veteran's Disability Pay - Earned Income Credit?

Collapse
X
Collapse
 
  • Page of 1
  • Time
  • Show
Clear All
new posts
Previous template Next
  • zeros
    Senior Member
    • Dec 2006
    • 921
    #1

    Veteran's Disability Pay - Earned Income Credit?

    Client has a son who is 20 and a student for over 1/2 the time. He attended colleger 5 months in 2010. It appears like they would be eligible for the EIC based on their income but this does not include the disability pay he receives. Does VA benefits (not taxable) have to be included in the EIC calculation?
    Tags: None
    • erchess
      Senior Member
      • Jan 2007
      • 3513
      #2
      I think not

      I eyeballed the page in I think tab ten of the 1040 book and the worksheet in tab sixteen and concluded that VA disability is apparently not related to EIC.

        Comment

        • ChEAr$
          Senior Member
          • Dec 2005
          • 3872
          #3
          Right; no way since it's not taxable.
          ChEAr$,
          Harlan Lunsford, EA n LA

            Comment

            • erchess
              Senior Member
              • Jan 2007
              • 3513
              #4
              Point of order, Harlan

              Are there not some forms of nontaxable earned income that can hurt but never help EIC?

                Comment

                • snowshine
                  Senior Member
                  • Feb 2009
                  • 122
                  #5
                  Right you are, combat pay for instance, can increase EIC. VA benefits do not fall into this category however.

                    Comment

                    • ChEAr$
                      Senior Member
                      • Dec 2005
                      • 3872
                      #6
                      What Snow said, Ed.
                      ChEAr$,
                      Harlan Lunsford, EA n LA

                        Comment

                        Previous template Next

                        Disclaimer

                        Collapse

                        This message board allows participants to freely exchange ideas and opinions on areas concerning taxes. The comments posted are the opinions of participants and not that of Tax Materials, Inc. We make no claim as to the accuracy of the information and will not be held liable for any damages caused by using such information. Tax Materials, Inc. reserves the right to delete or modify inappropriate postings.

                        Working...