TAX CREDIT WORKSHEET
“MOORE” T AX T IPS
This is not an official tax document FOR HOMEOWNERS Your property tax
+50% of water/sewer bill
You are eligible for a $700 exemption if you turn 65 before the close of the tax year
The same exemption is available for your spouse if he/she turns 65 on or before December 31 of the tax year NO TAX STATUS
(includes taxable income as well as exempt income such as (minus) - Exemptions
EXEMPTION FOR AGE 65 +
social security and public pensions)
If qualified, you may not have to pay MA income taxes if your adjusted gross income is:
(includes exemptions for dependents, blindness
Single: Less than $8,000
and age 65+ exemption)
Head of Household: Less than $14,400
Married Joint Return: $16,400 - $28,700
= Total Annual Income
(times) x .10 =
To calculate possible credit (h), subtract (g) from (c):
(minus) -Line (g) $___________ Possible tax credit (h) $___________ FOR RENTERS
Single households with elderly or disabled dependents are eligible for a deduction of $3,600 - for two or more dependents the deduction is $7,200 CAPITAL GAINS ON SALE OF RESIDENCE
(times) x .25 =
Total Annual Income
(times) x .10 =
To calculate possible credit (e), subtract (d) from (b): Line (b) $_____________ (minus) - Line (d) $_____________ Possible tax credit = (e) $_____________
TAX TIPS T HE C IRCUIT B REAKER
Line (c) $___________
Your annual rent
On a principle residence sold after December 13, 1997, a gain of up to $250,000 is not subject to tax.
For joint filers, the gain excluded from tax is $500,000
SENATOR RICHARD T. MOORE STATE HOUSE, ROOM 111 BOSTON, MA 02133 (P) 617-722-1420 (F) 617-722-1944
TAX RELIEF FOR
MASSACHUSETTS SENIOR CITIZENS BROUGHT TO YOU BY : SENATOR RICHARD T. MOORE
WHAT IS THE CIRCUIT BREAKER?
Dear Seniors: I am pleased to share with you this informational brochure regarding the Circuit Breaker Tax Credit. Do you know what the Circuit Breaker Tax Credit is? No? You are not alone! The Circuit Breaker is a property tax credit designed by the Legislature with the intent of alleviating some of the burden property taxes can create. If you were eligible for this tax credit in previous years but did not take it, you can go back three tax years and file amended returns to receive it. I hope you find this brochure to be both helpful in determining your eligibility and informative.
The Circuit Breaker Tax Credit is so named because it is “triggered” like an electrical circuit breaker when property payments exceed 10% of a senior citizen’s annual income Qualified seniors receive $1.00 credit on their state income taxes for every dollar their property tax & water and sewer bills exceed 10% of their income, up to $1,030 maximum in tax year 2013. (Maximum credit for tax year 2012 was $1,000)
Age 65 or older by end of tax year;
Own or rent residential property in Massachusetts & occupy property as primary residence
Annual Income of $55,000 or less as a single filer; $69,000 or less for a head of household; or $82,000 or less for joint filers
Married persons who do not file jointly for this credit.
Those who are dependent of another tax filer.
Those who directly receive a federal or state rent subsidy
Those who live in a property-tax exempt facility.
Those whose property is assessed at a value of $700,000 or more.
I AM ELIGIBLE - HOW DO I APPLY?
SENATOR RICHARD T. MOORE
AM I ELIGIBLE?
This informational brochure is NOT an official tax document and therefore I suggest you always consult with a certified tax professional. Should you have any general questions on this tax credit or any other matter, please do not hesitate to contact me at any time.
WHO IS NOT ELIGIBLE?
Submit both “Schedule CB Worksheets” and “Schedule CB Circuit Breaker Credit” forms with your State Income Tax Return Eligible seniors MUST file a return & claim a refund, even if they do not owe taxes
M OORE ’ S T AX T IPS Senator Richard T. Moore State House, Room 111 Boston, MA 02133 (P) 617-722-1420 (F) 617-722-1944 www.senatormoore.com www.facebook.com/senatormoore