What are Recapture Taxes?

Recapture means repayment. If you took a credit in a previous year and need to repay it this year, that's called a credit recapture. These are not common and will increase the tax that you owe this year. You can enter repayment for the following:

• Education Credit (Form 8863)
• Education Deduction (Form 8917)
• Alternative Fuel Vehicle Refueling Property Credit (Form 8911)
• Low-Income Housing Credit (Form 8611)
• New Markets Credit (Form 8874)
• Employer-Provided Child Care Facilities Credit (Form 8882)
• Investment Credit (Form 4255)
• Federal Mortgage Subsidy (Form 8828)