Form 8880, Credit for Qualified Retirement Savings Contributions
Used to figure the amount of allowable retirement savings contributions credit (saver's credit).
Form 8880 automatically populates for eligible taxpayers, who have retirement entries on their W-2 form in box 12. There are a few questions that must be answered to complete Form 8880.
Follow the instructions below to correctly complete the Form 8880:
Navigate to Form 8880 using the Attached Forms Tree.
Indicate whether the taxpayer/spouse was a full time student for at least 5 months, by checking the appropriate box.
Complete the Validation Check by entering Y or N.
Enter Y, if the taxpayer/spouse withdrew from retirement in the 3 years prior to the current tax year (this is not asking about the current year).
Enter N, if the taxpayer/spouse did not withdrawal from retirement in the 3 years prior to the current tax year (this is not asking about the current year).
If you answered Y in the Validation Check, you will need to enter the total of all retirement distributions in Line 4b for the taxpayer or spouse.
If this box is populating and the taxpayer/spouse did not withdrawal from retirement in the three prior years, go back to step 3 and change the Y to an N.
