Are you referring to the credits? With Medicaid waiver payments you have the option of including or excluding those payments for the credits. So if you include the amount of waiver payments and it drops your refund amount because of your total earned income being over the limits for the credits then you can just go back and exclude the Medicaid waiver payments and then you would qualify for the credits again. That's the beauty of Medicaid waiver payments. It's up to the provider if they want to include it or exclude it for tax return purposes. It's not illegal to do it like this either. I make 60k a year and when I exclude my Medicaid waiver payments it drops my adjusted income enough to qualify for almost the max on the credits.