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Richard, Attorney
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CAn someone tell me what 1040A Schedule R form is and who it

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CAn someone tell me what 1040A Schedule R form is and who it is for. Also, is there an income limit to qualify. Someone told me about it. I am disabled and have never heard of it. Thank you so much.
Welcome! My goal is to do my very best to understand your situation and to provide a full and complete answer for you.

Good morning. Schedule R is to claim a tax credit that may be available to you to reduce your taxes. The credit is based on your filing status, age, and income. If you are married filing a joint return, it is also based on your spouse's age and income. You may
be able to take this credit if either of the following
applies.
1. You were age 65 or older at the end of 2012, or
2. You were under age 65 at the end of 2012 and
you meet all of the following.
a. You were permanently and totally disabled on
the date you retired. If you retired before 1977, you
must have been permanently and totally disabled on
January 1, 1976, or January 1, 1977.
b. You received taxable disability income for
2012.
c. On January 1, 2012, you had not reached mandatory retirement age (the age when your employer's
retirement program would have required you to retire).



Pursuant to IRS Publication 524 which you can find at: http://www.irs.gov/publications/p524/ar02.html#en_US_2012_publink100038695:


You can figure the credit yourself, or the Internal Revenue Service (IRS) will figure it for you. See Figuring the Credit Yourself , next.

If you can take the credit and you want the IRS to figure the credit for you, attach Schedule R to your return. Check the appropriate box in Part I of Schedule R and fill in Part II and lines 11, 13a, and 13b of Part III, if they apply to you.

If you file Form 1040A, enter “CFE” in the space to the left of Form 1040A, line 30. If you file Form 1040, check box c on Form 1040, line 53, and enter “CFE” on the line next to that box. Attach Schedule R to your return.

Table 2.Initial Amounts

IF your filing status is... THEN enter on line 10 of Schedule R...
single,head of household, or qualifying widow(er) with dependent child and, by the end of 2012, you were
• 65 or older $5,000
• under 65 and retired on permanent and total disability1 $5,000
married filing a joint return and by the end of 2012
• both of you were 65 or older $7,500
• both of you were under 65 and one of you retired on permanent and total disability1 $5,000
• both of you were under 65 and both of you retired on permanent and total disability2 $7,500
• one of you was 65 or older, and the other was under 65 and retired on permanent
and total disability3 $7,500
• one of you was 65 or older, and the other was under 65 and not retired on permanent
and total disability $5,000
married filing a separate return and you did not live with your spouse at any time during the year and, by the end of 2012, you were
• 65 or older $3,750
• under 65 and retired on permanent and total disability1 $3,750
1 Amount cannot be more than the taxable disability income.
2 Amount cannot be more than your combined taxable disability income.
3 Amount is $5,000 plus the taxable disability income of the spouse under age 65, but not more than $7,500.




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Customer: replied 3 years ago.

Thank you. If the person who is disable did not retire, but was in business for himself when he went on disability, how would that work ? Sorry, it’s just hard to figure it all out.

Thanks for responding. As long as the person is over 65 or if under 65, the person is disabled when he did retire, he is eligible for the credit.
Customer: replied 3 years ago.

Sorry to ask again, but if I did not actually retire, but applied for disability .I owned my own company so I don’t know how to say that I retired, I just couldn’t work any more due to disability and was under 65.


 


IS that the same thing ?? Thank you again.

I would take the position that you are eligible as disabled and let the IRS disallow it if it finds otherwise.
Customer: replied 3 years ago.

Is there an income limit for married filing jointly for the schedule R.

able 1. Income Limits

IF your filing status is THEN, even if you qualify (see Figure A), you CANNOT take the credit if
Your adjusted gross income (AGI)* is equal to or more than... OR the total of your nontaxable social security and other nontaxable pension(s), annuities, or disability income is equal to or more than...
single, head of household, or qualifying widow(er) with dependent child $17,500 $5,000
married filing jointly and only one spouse qualifies in Figure A $20,000 $5,000
married filing jointly and both spouses qualify in Figure A $25,000 $7,500
married filing separately and you lived apart from your spouse for all of 2012 $12,500 $3,750
* AGI is the amount on Form 1040A, line 22, or Form 1040, line 38.
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