2024 Illinois Property Tax Credit does not seem to be calculating correctly.

Forum|Forum|1 year ago
March 2, 2025
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Illinois Schedule ICR line 5 is showing zero even though it says to enter lesser amount from lines 3 and 4g - both being positive numbers in my case and I do quality. Are others currently seeing this bug in TurboTax. Have not had this problem in prior years.

Best answer by DawnC

As stated above, there is an income limitation on the Property Tax Credit. TurboTax will automatically adjust the credit amount to zero if your income is over the threshold.

If your federal filing status is married filing jointly and your federal AGI is greater than $500,000, you are not entitled to a property tax credit or a K-12 education expense credit.
If your federal filing status is single, head of household, married filing separately, or widowed and your federal AGI is greater than $250,000, you are not entitled to a property tax credit or a K-12 education expense credit.

For more information, see Publication 108, Illinois Property Tax Credit

daniel-ugorcak

I encountered the same issue. After many attempts to insert different values into IL-1040 and the ICR Schedule, I did determine that they are working correctly. If you read the IL-1040 Instructions, you will see that there are a number of Exceptions that affect Tax Credits. This is why TurboTax inserts a 0 in Line 5 even though Lines 3 and 4g have real values.

From IL-1040 Instructions, Page 9:

Income Exceptions for the property tax and K-12 education expense credit

If your federal filing status is married filing jointly and your federal AGI is greater than $500,000, you are not entitled to a property tax credit or a K-12 education expense credit.

If your federal filing status is single, head of household, married filing separately, or widowed and your federal AGI is greater than $250,000, you are not entitled to a property tax credit or a K-12 education expense credit.

I hope this helps.

DawnCAnswer

Employee

As stated above, there is an income limitation on the Property Tax Credit. TurboTax will automatically adjust the credit amount to zero if your income is over the threshold.

If your federal filing status is married filing jointly and your federal AGI is greater than $500,000, you are not entitled to a property tax credit or a K-12 education expense credit.
If your federal filing status is single, head of household, married filing separately, or widowed and your federal AGI is greater than $250,000, you are not entitled to a property tax credit or a K-12 education expense credit.

For more information, see Publication 108, Illinois Property Tax Credit

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