Friday, March 3, 2017

You might qualify for the Earned Income Tax Credit. Don’t miss out!

The Earned Income Tax Credit is a tax credit that can put money in the hands of hard-working people and can be a significant financial boost to individuals, their families and local communities.

Eligible families with three or more qualifying children could get a maximum credit of up to $6,269. EITC for people without children could mean up to $506 added to their tax refund. Unlike most deductions and credits, the EITC is refundable. In other words, those eligible may get a refund from the IRS even if they owe no tax. Last year, more than 27 million eligible workers and families received almost $67 billion in EITC; with an average EITC amount of more than $2,455.

Workers, like you, move in and out of EITC eligibility because of a change in their tax filing status, the number of qualifying children they can claim or their financial situation. Every year, approximately one-third of the people qualifying for EITC are newly eligible.

More about EITC

EITC is not automatic. To get EITC, you must file a federal income tax return, even if you’re not otherwise required to file, and you must specifically claim the credit.

Don’t guess about your EITC eligibility. Use the EITC Assistant to find out. This helpful online tool will walk you through the process step-by-step. The EITC Assistant is available on IRS.gov.

Also, when checking your eligibility for EITC, don’t overlook other tax credits related to education and other child tax benefits for which you may qualify.

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