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TAX GUIDE

Schedule 3 (Form 1040) Guide 2026: Credits and Payments

KEY INSIGHT
Schedule 3 (Form 1040) reports additional credits and payments: Part I nonrefundable credits total to Form 1040 line 20, and Part II payments and refundable credits total to line 31. For 2025 returns filed in 2026, excess social security tax is claimable only above $10,918.20 withheld (IRS Schedule 3 and the Form 1040 instructions).
At a glance

Key Facts

Nonrefundable total
Line 8 to Form 1040 line 20
Payments and refundable total
Line 15 to Form 1040 line 31
Excess SS threshold
$10,918.20 withheld
Two-job wage test
Over $176,100
Introduction

Schedule 3 is where many credits and payments that do not fit on the main Form 1040 are added up. It feeds two lines of the return, so knowing what belongs where saves time.

This guide walks through each part of the schedule, explains the excess social security credit with a worked example and shows where totals go, using the 2025 Schedule 3 and the 2025 Form 1040 instructions (the forms used to file in 2026).

Section 01

What Schedule 3 Is For

Schedule 3 is titled Additional Credits and Payments and is attached to Form 1040, 1040-SR or 1040-NR. Part I lists nonrefundable credits, which reduce your tax but not below zero; the total on line 8 goes to Form 1040 line 20. Part II lists other payments and refundable credits; the total on line 15 goes to Form 1040 line 31. This guide covers the 2025 version of the schedule, which is the one used to file in 2026.

Section 02

Part I: Nonrefundable Credits

LineCreditForm
1Foreign tax creditForm 1116, if required
2Credit for child and dependent care expenses, from Form 2441, line 11Form 2441
3Education credits, from Form 8863, line 19Form 8863
4Retirement savings contributions creditForm 8880
5aResidential clean energy credit, from Form 5695, line 15Form 5695
5bEnergy efficient home improvement credit, from Form 5695, line 32Form 5695
6a to 6mOther credits such as the clean vehicle credit (Form 8936), general business credit and others (6e is reserved and 6z is left blank, per the IRS instructions)Various forms
8Add lines 1 through 4, 5a, 5b and 7; carry to Form 1040 line 20

See our child and dependent care credit guide, American opportunity credit guide and lifetime learning credit guide for the education and care credits.

Section 03

Part II: Other Payments and Refundable Credits

LineItemNotes from the IRS instructions
9Net premium tax credit (Form 8962)Enter the net amount shown on Form 8962, line 26, if the credit you can claim exceeds advance payments
10Amount paid with request for extension to filePayment with Form 4868 or by making a payment for an automatic extension
11Excess social security and tier 1 RRTA tax withheldSee below
12Credit for federal tax on fuels (Form 4136)Federal excise taxes on fuels used for a nontaxable purpose, such as off-highway business use
13a to 13zOther payments or refundable creditsIncludes Form 2439 and the section 1341 repayment credit
15Add lines 9 through 12 and 14; carry to Form 1040 line 31

If you paid with an extension request, see our Form 4868 extension guide.

Section 04

Line 11: Excess Social Security Tax

If you, or your spouse on a joint return, had more than one employer for 2025 and total wages of more than $176,100, too much social security or tier 1 railroad retirement tax may have been withheld. You can take a credit on line 11 for the amount withheld in excess of $10,918.20, figured separately for you and your spouse. If any one employer withheld more than $10,918.20, you cannot claim the excess on your return; the employer should adjust it, or you file Form 843. You cannot claim a refund of excess tier 2 RRTA tax on Form 1040; use Form 843.

Example (our illustration)Amount
Wages from job A$100,000
Wages from job B$90,000
Social security tax withheld at 6.2% by each employer$6,200 and $5,580
Total withheld$11,780
Threshold$10,918.20
Credit on Schedule 3, line 11$861.80

Total wages of $190,000 exceed $176,100 and neither employer withheld more than $10,918.20, so the credit applies. The 6.2% figure here is the employee social security rate, and $10,918.20 is 6.2% of $176,100. See our Form W-2 guide.

Next-year note (not for 2025 returns): the social security wage base for 2026 is $184,500, so the maximum employee social security tax for 2026 is $11,439.00 (6.2% of $184,500). That will apply to the Schedule 3 you file in 2027, whose final form is not yet published (IRS Publication 926 for 2026).

Section 05

Official Sources

IRS: Schedule 3 (Form 1040), Additional Credits and Payments, IRS: Instructions for Form 1040 and 1040-SR.

FAQ

Frequently Asked Questions

What is Schedule 3 (Form 1040)?

A schedule titled Additional Credits and Payments that you attach to Form 1040, 1040-SR or 1040-NR.

Where do Schedule 3 totals go?

Line 8 (nonrefundable credits) goes to Form 1040 line 20 and line 15 (other payments and refundable credits) goes to line 31.

Which credits are on Schedule 3?

The foreign tax credit, child and dependent care credit, education credits, retirement savings contributions credit, residential clean energy and energy efficient home improvement credits, clean vehicle credits and others.

Where do I report the net premium tax credit?

On line 9, using the net amount from Form 8962, line 26.

Where do I enter an extension payment?

On line 10 for amounts paid with Form 4868 or when making a payment for an automatic extension.

When can I claim excess social security tax withheld?

When you had more than one employer and total wages above $176,100 for 2025, for the amount withheld above $10,918.20. For 2026 the wage base is $184,500, so the matching threshold will be $11,439.00.

What if one employer withheld too much social security tax?

You cannot claim the excess on your return; the employer should adjust it, or you can file Form 843.

Is there a 2026 version of Schedule 3?

The 2025 form is the one used for returns filed in 2026; check IRS.gov/Form1040 for later versions.

Do I always have to file Schedule 3?

Only if you have an item reported on it.
Disclaimer:This guide gives general tax information for educational purposes and is not tax, legal or financial advice. Rules, forms and deadlines are set by the authorities named here and can change; check the official sources linked in this guide and talk to a qualified tax professional about your own situation.
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