31 — Schedule 3 Other Payments and Refundable Credits Updated for tax year 2025

What this line means

Other payments and refundable credits from Schedule 3, Part II. This line captures less common refundable credits and payments including the net premium tax credit (ACA marketplace subsidies), excess Social Security tax withheld from multiple employers, credits from Forms 2439, 4136 (fuel tax credit), and 8885. Most filers leave this line blank unless they have ACA marketplace insurance or one of these specific situations.

Does this apply to you?

• You purchased health insurance through the ACA marketplace and are reconciling your premium tax credit
• You paid excess Social Security tax because you worked for multiple employers with combined wages exceeding the Social Security wage base
• You have a fuel tax credit from Form 4136 (farmers, off-highway vehicle use)
• You have a credit from Form 2439 (undistributed capital gains from a mutual fund or REIT)

Easy to overlook

The premium tax credit reconciliation can go either way If your actual income was lower than estimated when you enrolled in marketplace health insurance, you may receive additional premium tax credits as a refund here. If your income was higher than estimated, you may need to repay credits — that repayment shows up on Schedule 2, not here. Many marketplace enrollees are surprised by the reconciliation amount. ¹ [SOURCE: IRS Schedule 3, Part II instructions — Other Payments and Refundable Credits]

Excess Social Security withholding from multiple employers If you worked for two or more employers and combined W-2 wages exceeded $176,100 (2025), each employer independently withheld 6.2% Social Security tax. The excess can be claimed as a credit here. This refund is not automatic — you must claim it. High earners with multiple jobs leave thousands unclaimed every year. ² [SOURCE: General filing pattern — excess Social Security tax credit unclaimed]

Watch out for this

Not completing Form 8962 (Premium Tax Credit) when you received advance premium tax credits for ACA marketplace insurance. If you received Form 1095-A from the marketplace and do not file Form 8962, the IRS will reject your return or hold your refund until the form is filed. This is a hard requirement, not optional.

Related lines on your return

• Schedule 3, Part II — Form 1040 — Detailed breakdown of other payments and refundable credits
• Form 8962 — Premium Tax Credit — reconciles advance credits with your actual income
• Line 32 — Form 1040 — Total other payments; line 31 flows into this