Determining the Amount of the Credit
Calculate the credit for the elderly or the disabled on Schedule R, Credit for the Elderly or the Disabled, and report the amount in Form 1040, Tax and Credits section.
Schedule R has three parts:
Since the tax software automatically calculates the credit for the elderly or the disabled, all social security and railroad retirement benefits must be entered on the tax software electronic worksheet for social security benefits line of Form 1040. Amounts must be entered even if no social security is taxable.
The tax software uses the data from the Main Information Screen and income amounts entered on the return to determine whether the taxpayer is eligible for the credit, complete most of Schedule R, and transfer the credit amount to the appropriate line of the Form 1040. Go to the Volunteer Resource Guide (Tab 5), Nonrefundable Credits for software entries.