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FORM STATE OF HAWAII — DEPARTMENT OF TAXATION
N-356 EARNED INCOME TAX CREDIT
(REV. 2023) 20__
N356_I 2023A 01 VID01 See Instructions on back
Attach to Form N-11 or Form N-15

Name(s) as shown on Form N-11 or N-15 Your social security number

Note: If you are only claiming a carryover of unused earned income tax credit from a prior year, skip lines 1 through 7 and begin on line 8.
Part I QUALIFYING INDIVIDUAL TAXPAYER
1 In order to claim the tax credit, you must meet the definition of a qualifying individual taxpayer.
a Are you filing a federal income tax return and claiming the federal earned income credit for this tax year? ................ Yes No
b Are you using the same filing status on your Form N-11 or Form N-15 as used on your federal income tax return? .. Yes No
c Are you claiming the same dependents on your Form N-11 or Form N-15 as claimed on your
federal income tax return? (Note: Also check “Yes” if you are not claiming any dependents
on your Hawaii and federal income tax returns.) .......................................................................................................... Yes No
If you answered “No” to any of the 3 questions, you are not a qualifying individual taxpayer. You cannot claim this credit. Do not complete this form.

Part II REFUNDABLE TAX CREDIT COMPUTATION

2 Enter the amount of your federal earned income credit claimed on your federal income tax return for this tax year. ....... 2

3 Multiply line 2 by 40% ........................................................................................................................................................ 3
Note: Residents, skip lines 4 and 5, enter “1.00” on line 6, and go to line 7.
Part-year residents and nonresidents, continue on to line 4.

4 Enter your Hawaii adjusted gross income from Form N-15, Column B ............................ 4

5 Enter your federal adjusted gross income from Form N-15 ............................................. 5

6 Divide line 4 by line 5. (Compute to 3 decimal places and round to 2 decimal places) ..................................................... 6

7 Total New Credit Claimed — Multiply line 3 by line 6.
Also enter this amount on Schedule CR on the appropriate line for this tax credit ............................................................ 7
Part III UNUSED CARRYOVER COMPUTATION
Note: Unused tax credits from tax years 2018 through 2021 cannot be carried over for taxable years beginning after December 31, 2024.
8 Adjusted Tax Liability — Enter the amount from Form N-11 or Form N-15 .................................................................... 8

9 If you are claiming other nonrefundable tax credits, complete the worksheet in the instructions and enter
the total here. If you are not claiming other nonrefundable credits, enter zero .................................................................. 9

10 Line 8 minus line 9. This represents your remaining tax liability. If the result is zero or less, enter zero ........................... 10

11 Carryover of unused earned income tax credit from prior year .......................................................................................... 11

12 Total Credit Applied — Enter the smaller of line 10 or line 11. This is your earned income tax credit to be applied
to this tax year. Enter this amount, rounded to the nearest dollar, on Schedule CR, in Column (b) of the
appropriate line for this tax credit ....................................................................................................................................... 12

13 Unused Credit to Carryover — Line 11 minus line 12. This represents your current year’s carryover of unused credit.
The amount of any unused credit may be carried over and used as a credit against your tax liability in subsequent
years until exhausted. If this amount is more than zero, also enter it on Schedule CR in Column (c) of the appropriate
line for this tax credit. ......................................................................................................................................................... 13

N356H7V9 ID NO 01 FORM N-356 (REV. 2023)

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FORM N-356 (REV. 2023) PAGE 2
CHANGES YOU SHOULD NOTE credit after the deadline. Line 12 — Total Credit Applied. Compare the
Act 163, Session Laws of Hawaii 2023 - Note: If the Internal Revenue Service (IRS) amounts on lines 10 and 11. Enter the smaller of
The Earned Income Tax Credit is amended by makes an adjustment to the federal earned in- line 10 or 11 here, rounded to the nearest dollar.
increasing the tax credit from 20% to 40% of come credit (due to an adjustment to federal tax- This is your credit applied for this taxable year.
the federal earned income tax credit allowed able income) after the 12-month deadline, you You MUST also enter this amount on Schedule
and properly claimed on the individual’s federal must amend the Hawaii earned income tax cred- CR in Column (b) of the appropriate line for this
income tax return. Effective for taxable years it even if the 12-month deadline has passed. The tax credit.
beginning after December 31, 2022. amended Hawaii income tax return must be filed Line 13 — Unused Credit to Carryover. Line 11
within 90 days after the adjustment by the IRS is minus line 12. This represents your carryover of
GENERAL INSTRUCTIONS finally determined. unused earned income tax credit which exceeds
The earned income tax credit is refundable your net income tax liability and may be used as
and 40% of the federal earned income credit SPECIFIC INSTRUCTIONS a carryover credit against your net income tax li-
claimed on the taxpayer’s federal income tax Note: If you are only claiming a carryover of un- ability in subsequent years until exhausted, pro-
return. For part-year residents and nonresidents, used earned income tax credit from a prior year, vided that no credit carried forward amounts from
the tax credit is multiplied by the ratio of Hawaii skip lines 1 through 7 and begin on line 8. tax years 2018, 2019, 2020, and 2021 shall be
adjusted gross income to federal adjusted gross Part I, Qualifying Individual Taxpayer used as a credit for taxable years beginning after
income. December 31, 2024. You MUST enter this
Line 1 — Answer the questions to determine amount on Schedule CR in Column (c) of the
Any unused carryover of the tax credit shall whether you meet the definition of a qualifying appropriate line for this tax credit.
be claimed against the net income tax liability for individual taxpayer. If you are not a qualifying in-
the taxable year. A tax credit that exceeds the dividual taxpayer, you cannot claim this credit.
taxpayer’s income tax liability may be used as a
credit against the taxpayer’s income tax liability Part II, Applied Tax Credit and Unused Carry-
in subsequent years until exhausted, provided over Computation EARNED INCOME TAX CREDIT WORKSHEET
that no credit carried forward amounts from tax Line 2 — Enter the amount of your federal Tax Credit Amount
years 2018, 2019, 2020, and 2021 shall be used earned income credit from federal Form 1040 or
as a credit for taxable years beginning after 1040-SR. a. Income Taxes Paid to Another
State or Foreign Country .
December 31, 2024.
Note: If you choose to have the IRS compute b. Enterprise Zone Tax Credit .
Purpose of Form your federal earned income credit and do not re-
Use Form N-356 to figure and claim the ceive the credit amount from the IRS before the c. Pass-Through Entity Tax
earned income tax credit under section 235- deadline to file your Hawaii tax return, you should Credit ...............................
55.75, Hawaii Revised Statutes. complete Form N-11 or Form N-15 without claim- d. Carryover of the Energy
ing the tax credit. Once the IRS sends you the Conservation Tax Credit ..
Who May Claim This Credit federal earned income credit amount, you may e. Credit for Employment of
Each qualifying individual taxpayer may claim file an amended tax return to claim the tax credit. Vocational Rehabilitation
Referrals ..........................
this credit. A qualifying individual taxpayer means Line 6 — Divide line 4 by line 5. Compute the
a taxpayer that: (1) files a federal income tax ratio to 3 decimal places and round it to 2 decimal f. Credit for School Repair and
return for the taxable year and claims the earned places. For example, line 4 is $60,000; and line 5 Maintenance ....................
income credit under Internal Revenue Code is $90,000. The ratio of Hawaii AGI to federal g. Carryover of the Renewable
section 32, and (2) files a Hawaii income tax AGI is 0.67 (60,000/90,000 = 0.666 rounded to Energy Technologies
return for the taxable year using the same filing 0.67). Income Tax Credit (For
Systems Installed and
status used on the federal income tax return, and Placed In Service Before
claiming the same dependents claimed on the Note: If line 5 is zero or a negative number (loss)
and line 4 is a positive number, enter 1.00 on line July 1, 2009) ....................
federal income tax return. h. Renewable Energy
6. If line 4 is zero or a negative number (loss),
When the Credit May Not Be enter zero on line 6. If both lines 4 and 5 are neg- Technologies Income Tax
Claimed ative numbers (losses), enter zero on line 6. If Credit (Nonrefundable) .....
line 4 is greater than line 5, enter 1.00 on line 6. i. Carryover of the Cesspool
This credit may not be claimed if any of the Upgrade, Conversion or
following apply: Line 7 — Refundable Credit Claimed. Multiply Connection Income
line 3 by line 6. You MUST also enter this amount Tax Credit .........................
(1) There was a final administrative or judicial
on Schedule CR on the appropriate line for this
decision within the prior ten taxable years that j. Add lines a through i.
tax credit.
your claim for the tax credit was due to fraud. Enter the amount here and
(2) There was a final administrative or judicial Line 9 — Certain other tax credits must be used on Part II, line 9 ................
to offset a taxpayer’s tax liability before the
decision within the prior two taxable years
earned income tax credit may be used. If you are
disallowing your claim for the tax credit.
claiming other nonrefundable tax credits, com-
Credit Requirements plete the Credit Worksheet and enter the result
To claim this credit or use any carry over, you on line 9. If you are not claiming any of the non-
must complete and attach to your Hawaii income refundable tax credits listed on the worksheet,
tax return: enter zero on line 9.
(1) Form N-356 Line 11 — Enter the amount of unused earned
income tax credit from tax years 2018 through
(2) Schedule CR 2022, provided that no credit carried forward
Deadline for Claiming the Credit amounts from tax years 2018, 2019, 2020, and
2021 shall be used as a credit for taxable years
The deadline to claim the credit, including beginning after December 31, 2024.
amended claims, is 12 months after the close of
your taxable year. You cannot claim or amend the

FORM N-356 (REV. 2023)

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