Credit for the Elderly or Disabled (IRS Schedule R)
The Credit for the Elderly or Disabled is a federal tax credit for low-income seniors 65+ and people who retired due to permanent disability. It's often overlooked because the income limits are strict, but for eligible taxpayers it can be worth several hundred to a few thousand dollars.
Base Amounts
- • Single or head of household age 65+: base amount $5,000
- • Married filing jointly, both 65+: base amount $7,500
- • Married, one spouse 65+: $5,000
- • Disabled under 65: limited to taxable disability income
The credit is 15% of your base amount, reduced by nontaxable Social Security, pension income, and excess AGI over the income limit.
Who Qualifies
You qualify if you meet one of these:
- • Age 65 or older by the end of the tax year, OR
- • Under 65 AND retired on permanent, total disability AND received taxable disability income
Income Limits
You cannot claim the credit if either:
| Filing Status | AGI over | Nontaxable SS/Pension over |
|---|---|---|
| Single or HoH | $17,500 | $5,000 |
| Married filing jointly, one spouse 65+ | $20,000 | $5,000 |
| Married filing jointly, both 65+ | $25,000 | $7,500 |
| Married filing separately | $12,500 | $3,750 |
These thresholds have not been updated for inflation since the 1980s, which is why so few seniors qualify today.
How to Claim It
File IRS Schedule R (Form 1040) along with your standard federal return. Most tax software calculates this automatically if you enter your age and income correctly. You can also ask the IRS to compute the credit for you.
Note: This is a summary. IRS Publication 524 (Credit for the Elderly or Disabled) has the full rules. Free tax help for low-income seniors is available via VITA (Volunteer Income Tax Assistance) and Tax Counseling for the Elderly (TCE) — call 1-800-906-9887 to find a nearby site.
See federal and state rules for retirees:
All senior tax topics →