How to apply for Federal Credit for the Elderly or the Disabled (IRS Schedule R)

Who it's for

The Credit for the Elderly or the Disabled is a nonrefundable federal income tax credit, claimed on IRS Schedule R, for taxpayers who are age 65 or older (or who are permanently and totally disabled) and have low income. The maximum credit is $1,125 for a single filer and up to $1,500 for a married couple, but the actual amount is reduced — often to zero — by any nontaxable Social Security benefits and by adjusted gross income above a low threshold. Because the income limits have not been updated since the 1980s, the credit most often produces a real dollar benefit for low-income seniors whose income comes from small pensions or wages rather than Social Security, and for people under 65 retired on permanent disability. It is one of the most under-claimed line items on the senior tax return, in part because the seniors it targets frequently are not required to file at all.

What you'll need

• A filed federal Form 1040 with Schedule R attached (the credit cannot be claimed without filing a return, even if filing is not otherwise required)
• Proof of age 65+ OR, if under 65, a physician's statement certifying permanent and total disability
• Records of all income for the year — Social Security (SSA-1099), pensions (1099-R), wages (W-2), and any other sources
• Prior-year return, if available, to help free tax-prep volunteers complete Schedule R

Where to apply

Renewals

annual (claimed each year on the federal tax return)