Worksheet B—Earned Income Credit —Lines 66a and 66b. Summary: This flowchart represents the information listed on the Worksheet B, page 1 to determine Earned Income Credit.Start. This is the starting of the flowchart.Process (a). Use this worksheet if you answered
“Yes” to Step 5, questions 3, on page 48.
-
Complete the parts below (Parts 1 through 3) that apply to you. Then, continue to Part 4.
-
If you are married filing a joint return, include your spouse's amounts, if any, with yours to figure the amounts to enter
in Parts 1 through
3.
Decision (1). Are you self-employed, member of the clergy, or have church employee income filing Schedule SE?
|
IF Yes Continue To Process (b)
|
|
IF No Continue To Decision (2)
|
Process (b). PART 1: 1a. Enter the amount from Schedule SE, Section A, line 3, or Section B, line 3, whichever applies.
Process (c). 1b. Enter any amount from Schedule SE, Section B, line 4b, and line 5a.
Process (d). 1c. Combine lines 1a and 1b.
Process (e). 1d. Enter the amount from Schedule SE, Section A, line 6, or Section B, line 13, whichever applies.
Process (f). 1e. Subtract line 1d from 1c.
Decision (2). Are you self-employed and NOT required to file Schedule SE?
|
IF Yes Continue To Process (g)
|
|
IF No Continue To Process (k)
|
Process (g). PART 2: 2. Do not include on these lines any statutory employee income, any net profit from services performed as notary public,
or any amount
exempt from self-employment tax as the result of the filing and approval of Form 4029 or Form 4361.
Process (h). 2a. Enter any net farm profit or (loss) from Schedule F, line 36, and from farm partnerships, Schedule K-1 (Form 1065), box
14, code
A*.Footnote: If you have any Schedule K-1 amounts, complete the appropriate line(s) of Schedule SE, Section A. Reduce these
amounts before
entering them on schedule SE by any partnership section 179 expense deduction claimed, unreimbursed partnership expenses claimed,
and depletion
claimed on oil and gas properties. Enter your name and social security number on Schedule SE and attach it to your return.
Process (i). 2b. Enter any net profit or (loss) from Schedule C, line 31; Schedule C-EZ, line 3; Schedule K-1 (Form 1065), box 14, code
A (other than
farming); and Schedule K-1 (Form 1065-B), box 9, code J1*.Footnote: If you have any Schedule K-1 amounts, complete the appropriate
line(s) of Schedule SE, Section A. Reduce these amounts before
entering them on schedule SE by any partnership section 179 expense deduction claimed, unreimbursed partnership expenses claimed,
and depletion
claimed on oil and gas properties. Enter your name and social security number on Schedule SE and attach it to your return.
Process (j). 2c. Combine lines 2a and 2b.
Process (k). Part 3: For Statutory Employees Filing Schedule C or C-EZ. 3. Enter the amount from Schedule C, line 1, or Schedule C-EZ,
line 1, that you are
filing as a statutory employee.
Process (l). Part 4: For All Filers Using Worksheet B. Note. If line 4b includes income on which you should have paid self-employment tax
but did not, we
may reduce your credit by the amount of self-employment tax not paid. 4a. Enter your earned income from Step 5 on page 48.
Process (m). 4b. Combine lines 1e, 2c, 3, and 4a. This is your total earned income.
Decision (3). Is line 4b zero or less?
|
IF Yes Continue To Process (n)
|
|
IF No Continue To Decision (4)
|
Process (n). STOP. You cannot take the credit. Enter
“No” on the dotted line next to line 66a.
Decision (4). Do you have any qualifying children?
|
IF Yes Continue To Decision (6)
|
|
IF No Continue To Decision (5)
|
Decision (5). Is line 4b less than $12,120 ($14,120 if married filing jointly)?
|
IF Yes Continue To Process (o)
|
|
IF No Continue To Process (p)
|
Process (o). If you want the Internal Revenue Service to figure your credit, see page 48. If you want to figure the credit yourself, enter
the amount from
line 4b on line 6 (page 52).
Process (p). STOP. You cannot take the credit. Enter
“No” on the dotted line next to line 66a.
Decision (6). Do you have 2 or more qualifying children?
|
IF Yes Continue To Decision (7)
|
|
IF No Continue To Decision (8)
|
Decision (7). Is line 4b less than $36,348 ($38,348 if married filing jointly)?
|
IF Yes Continue To Process (o)
|
|
IF No Continue To Process (p)
|
Decision (8). Is line 4b less then $32,001 ($34,001 if married filing jointly)?
|
IF Yes Continue To Process (o)
|
|
IF No Continue To Process (p)
|
End. This is the ending of the flowchart.
