{"id":2018,"date":"2024-11-08T16:06:04","date_gmt":"2024-11-08T21:06:04","guid":{"rendered":"https:\/\/www.bowditch.com\/estateandtaxplanningblog\/?p=2018"},"modified":"2024-11-08T16:06:04","modified_gmt":"2024-11-08T21:06:04","slug":"massachusetts-increases-senior-circuit-breaker-tax-credit","status":"publish","type":"post","link":"https:\/\/www.bowditch.com\/estateandtaxplanningblog\/2024\/11\/08\/massachusetts-increases-senior-circuit-breaker-tax-credit\/","title":{"rendered":"Massachusetts Increases Senior Circuit Breaker Tax Credit"},"content":{"rendered":"<p>The <a href=\"https:\/\/www.mass.gov\/technical-information-release\/tir-24-10-annual-update-of-real-estate-tax-credit-for-certain-persons-age-65-and-older\" target=\"_blank\" rel=\"noopener\">Massachusetts Department of Revenue recently announced<\/a> the annual increase to the popular Massachusetts \u201ccircuit breaker credit\u201d for certain persons who are 65 years of age or older.<\/p>\n<p>The circuit breaker tax credit is available to eligible seniors who own or rent Massachusetts residential property that they occupy as their principal residence. It is based on actual real estate taxes or rent paid, and there are income thresholds you need to meet in order to qualify. <a href=\"https:\/\/www.mass.gov\/technical-information-release\/tir-01-19-real-estate-tax-credit-for-certain-persons-age-65-and-older-as-revised\" target=\"_blank\" rel=\"noopener\">Eligible senior taxpayers are able to claim a refundable credit<\/a> against personal income tax.<\/p>\n<p>Under <a href=\"https:\/\/malegislature.gov\/Laws\/GeneralLaws\/PartI\/TitleIX\/Chapter62\/Section6\" target=\"_blank\" rel=\"noopener\">Massachusetts law<\/a>, the credit is adjusted annually for inflation.<\/p>\n<p>A refundable credit means eligible seniors can receive a refund even if they do not otherwise have a Massachusetts income tax or tax filing obligation.<\/p>\n<h2>How Much Is the Credit<\/h2>\n<ol>\n<li>For homeowners, the credit is equal to the amount that the real estate taxes paid exceed 10% of the person\u2019s total income for the year.<\/li>\n<li>For renters, the credit is equal to the amount by which 25% of the amount of rent paid exceeds 10% of the person\u2019s income for the year.<\/li>\n<\/ol>\n<h2>Maximum Credit Amount<\/h2>\n<p>For both renters and homeowners, the maximum amount of the credit for the year 2024 is $2,730.<\/p>\n<h2>Income Threshold<\/h2>\n<p>For tax year 2024, the taxpayer\u2019s total income cannot exceed (i) $72,000 for a single taxpayer, (ii) $91,000 for head of household and (iii) $109,000 for married couples filing a joint return.<\/p>\n<h2>Maximum Assessed Value of Home<\/h2>\n<p>For tax year 2024, the maximum assessed value of the home (before exemptions) for homeowners claiming the credit is $1,172,000.<\/p>\n<h2>How to Claim the Credit<\/h2>\n<p>The credit is claimed on Schedule CB. <a href=\"https:\/\/www.mass.gov\/doc\/draft-2024-schedule-cb-circuit-breaker-credit\/download\" target=\"_blank\" rel=\"noopener\">An early version of the 2024 schedule can be found here.<\/a><\/p>\n<p><a href=\"https:\/\/www.mass.gov\/technical-information-release\/tir-24-10-annual-update-of-real-estate-tax-credit-for-certain-persons-age-65-and-older\" target=\"_blank\" rel=\"noopener\">More information on the senior circuit breaker credit can be found in TIR 24-10.<\/a><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Massachusetts Department of Revenue recently announced the annual increase to the popular Massachusetts &ldquo;circuit breaker credit&rdquo; for certain persons who are 65 years of age or older. The circuit breaker tax credit is available to eligible seniors who own or rent Massachusetts residential property that they occupy as their&hellip;<\/p>\n","protected":false},"author":1,"featured_media":941,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"_links_to":"","_links_to_target":""},"categories":[506],"tags":[601,467,602],"class_list":["post-2018","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tax-credits","tag-circuit-breaker-credit","tag-massachusetts-department-of-revenue","tag-senior-citizens"],"acf":[],"yoast_head":"<!-- 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