Where do I find Form 8880 in your software?
To add Form 8880 - Credit for Qualified Retirement Savings Contributions in Online Taxes (OLT) software, follow these steps:
- Log in to your tax return in the OLT software.
- From the left menu (or tap the three dots in the top-right corner on mobile devices), select Federal.
- Under the Credits section, click on the Show more button near Retirement Savings Contributions Credit.
- Follow the on-screen instructions to complete Form 8880.
The software will guide you through each section of Form 8880, including eligibility, contribution amounts, and credit calculations. You can claim the retirement savings contributions credit (also known as the saver’s credit) if you made eligible contributions to retirement accounts such as IRAs, 401(k)s, 403(b)s, or the federal TSP.
Key Sections of Form 8880 (2025)
- Line 1: Traditional and Roth IRA contributions, and ABLE account contributions by the designated beneficiary for 2025 (excluding rollover contributions).
- Line 2: Elective deferrals to a 401(k) or other qualified employer plan, voluntary employee contributions, and 501(c)(18)(D) plan contributions for 2025.
- Line 3: Sum of lines 1 and 2.
- Line 4: Certain distributions received after 2022 and before the due date of your 2025 tax return (adjustments apply).
- Line 5: Subtract line 4 from line 3. If zero or less, enter -0-.
- Line 6: In each column, enter the smaller of line 5 or $2,000.
- Line 7: Add the amounts on line 6. If zero, you cannot take this credit.
- Line 8: Enter the amount from Form 1040, 1040-SR, or 1040-NR, line 11a (adjusted gross income).
- Line 9: Enter the applicable decimal amount from the table based on your filing status and income.
- Line 10: Multiply line 7 by line 9.
- Line 11: Limitation based on tax liability — use the Credit Limit Worksheet (instructions provided).
- Line 12: Enter the smaller of line 10 or line 11. This is your credit amount, to be reported on Schedule 3 (Form 1040), line 4.
Important Notes
- The form must be attached to Form 1040, Form 1040-SR, or Form 1040-NR.
- The maximum credit is $1,000 ($2,000 if married filing jointly).
- The credit is nonrefundable and limited by your tax liability.
- You cannot claim this credit if you are claimed as a dependent on someone else’s return or if you have certain other credits (e.g., credit for the elderly or disabled).
Source:
Form 8880 (2025) - Credit for Qualified Retirement Savings Contributions
Disclaimer: Always verify details with the official IRS forms and instructions available at www.irs.gov. This guidance is based on the current year’s published instructions and may not reflect changes enacted after publication. For complex tax situations, consult a CPA or tax attorney.