Maine offers several tax credits that may reduce your tax liability or increase your refund.
Earned Income Tax Credit
Maine allows an Earned Income Tax Credit (EITC) based on the federal Earned Income Credit. For eligible taxpayers, the credit is refundable for Maine residents and prorated for part-year residents. If you qualify, the program calculates this credit automatically. See the Earned Income Tax Credit Worksheet included in the pdf copy of the Main Tax Return.
Credits Requiring Additional Information
The credits available in the program are listed below in the same order they appear in the Maine interview.
Child Care Credit
If you qualify for Maine's Child Care Credit, enter the required child care information in the Maine section of your return. This credit is not refundable for nonresident taxpayers. Resident and part-year resident taxpayers may qualify for a refundable credit of up to $500.
Form: Credit for Child Care Expenses Worksheet (included with the Maine individual income tax return forms)
Credit for Taxes Paid to Another State
If you are a Maine resident and earned income that was taxed by another state, you may be eligible for a credit on your Maine return for taxes paid to that state. TaxSlayer automatically calculates the credit when a nonresident return for the other state is prepared. If you have a Maine part-year resident return, you may need to enter the requested information manually.
Form: Maine Schedule A, Recapture, Credit, and Bonus Depreciation Worksheet
Adult Dependent Care Credit
Form: Adult Dependent Care Credit Worksheet
Property Tax Fairness Credit
Eligible Maine taxpayers may qualify for a refundable Property Tax Fairness Credit. The maximum credit is generally $1,000, or $2,000 for taxpayers age 65 or older. Married taxpayers filing separate returns are not eligible to claim this credit.
Form: Schedule PTFC/STFC, Property Tax Fairness Credit and Sales Tax Fairness Credit
Student Loan Repayment Tax Credit
Eligible taxpayers who made qualifying student loan payments may be able to claim the Student Loan Repayment Tax Credit. To determine your eligibility and calculate the credit, complete the Student Loan Repayment Tax Credit Worksheet by providing:
- The taxpayer claiming the credit
- The type of degree received
- The graduation date
- The state where the college or university is located
- The amount of eligible student loan payments made during the tax year
- Any unused Educational Opportunity Tax Credit carryforward amounts from 2014 through 2021 (leave blank if none)
Maine Seed Capital Credit
Taxpayers who receive certification for qualified investments in eligible Maine businesses may qualify for the Maine Seed Capital Credit.
To claim this credit, enter the credit amount from your Maine Seed Capital Investment Tax Credit Worksheet and upload a PDF copy of the credit certificate issued by the Finance Authority of Maine (FAME). Maine requires a copy of the credit certificate to be attached to the return.
The Maine Seed Capital Investment Tax Credit Worksheet is used to calculate the amount of Maine Seed Capital Investment Tax Credit that can be claimed on the return, track any carryforwards, and calculate any recapture amount if a FAME certificate has been revoked.
Research Expense Tax Credit
Businesses that incur qualified research expenses may be eligible for the Maine Research Expense Tax Credit. Information from the applicable credit certificate and supporting documentation is required when preparing the return.
To claim this credit, you must enter the credit amount and upload a PDF of the completed Research Expense Tax Credit Worksheet.
Pine Tree Development Zone Credit
Businesses that expanded operations in Maine and received certification through the Department of Economic and Community Development may qualify for a Pine Tree Development Zone Credit.
To claim this credit, you must enter the credit amount and upload a PDF of the completed Pine Tree Development Zone Credit Worksheet.
Credit for Rehabilitation of Historic Properties After 2007
Taxpayers with qualified rehabilitation expenditures for certified historic properties may be eligible for this credit. For tax years beginning on or after January 1, 2025, Maine increased the maximum credit available for qualifying projects and expanded certain benefits for eligible rural and affordable housing projects.
To claim this credit, you must enter the credit amount and upload a PDF of the Rehabilitation of Historic Properties After 2007 Worksheet.
Other Credits
Additional Maine tax credits may be available depending on your situation. Review the Maine return interview carefully to determine whether you qualify for any credit not listed above.
Employer Credit for Family and Medical Leave
An employer that claimed the federal credit for employer-paid family and medical leave under Internal Revenue Code, Section 45S as a result of wages paid to employees based in Maine during the taxable year may qualify for this credit.
Employer Credit for Volunteer Firefighters and Volunteer EMS Persons
An employer that permits employees who are volunteer firefighters or volunteer municipal
emergency medical services persons to be absent from work for firefighting or emergency response activities without a reduction in pay may qualify for this credit.
Sales Tax Fairness Credit
You may qualify for a refundable Sales Tax Fairness Credit up to $280, depending on the number of qualifying children and dependents, if you meet all of the following:
• You were a Maine resident during any part of the tax year;
• Your total income during 2025 was not more than $32,950 if filing single; $51,700 if filing head of household; or, $63,950 if married filing jointly;
• Your filing status is single, head of household, married filing jointly, or qualifying widow(er).
Note: you cannot take the Sales Tax Fairness Credit if your filing status is married filing separately or if you are claimed as a dependent on another person's return.
If you qualify for the Sales Tax Fairness Credit by meeting the requirements stated above, the program will automatically calculate your credit and apply it to your return.
Other Credits
- Accessible Home Tax Credit - for qualified expenses to modify a home to make accessible to an individual with a disability or physical hardship. Note: Beginning in tax year 2024, the credit for certain homestead modifications is repealed but, you may still carryforward unused portions of the credits from a prior year.
- Credit for Disability Income Protection Plans in the Workplace - for employers that provide either a short or long term disability income protection plan
- Dental Care Access Credit -for individuals certified as eligible dentists with the Department of Health and Human Services
- Primary Care Access Credit - for individuals certified as primary health care professionals by the Department of Health and Human Services
- Dual Residence Tax Credit - for individuals that are considered residents of more than one state
- Affordable Housing Tax Credit- may be claimed by a taxpayer receiving a tax credit certificate for the taxable year from the Maine State Housing Authority for an affordable housing project in Maine
- New Markets Capital Investment Tax Credit- may be claimed by a taxpayer that holds a qualified equity investment certificate
- Credit for Major Food Processing and Manufacturing Facility Expansion- may be claimed by a qualified applicant certified by the Department of Economic and Community Development
- Credit for Paper Manufacturing Facility Investment- may be claimed by a qualified applicant certified by the Department of Economic and Community Development
- Certified Visual Media Production Credit- may be claimed if your business produced a movie or other type of media production, certified through the Department of Economic and Community Development
- Wellness Programs Credit- may be claimed by employers with 20 or fewer employees that incurred expenses for developing, instituting, and maintaining a wellness program
- Access To Justice Credit- may be claimed by individuals certified as eligible attorneys by the Supreme Judicial Court to provide services in underserved areas
- Biofuel Production Tax Credit- may be claimed by taxpayers engaged in the production of certified biofuel in Maine
- Renewable Chemicals Tax Credit- may be claimed by taxpayers engaged in the production of renewable chemicals in Maine
Program Entry
- State section
- Edit Maine state return
- Credits
For more information, see the Maine Instructions.