Earned Income Tax Credit (EITC)
The Earned Income Tax Credit (EITC) is a tax break designed to help low- to moderate-income workers and families. If you qualify, you can use the credit to reduce the taxes you owe and potentially increase your refund.
Did you receive a letter from the IRS about the EITC?
If you have received a letter from the IRS regarding the EITC, it is important to understand what steps you need to take. Read on to find out what you should do.
Who Qualifies for the EITC?
You may be eligible for the EITC if your income falls within the low- to moderate-income range. The amount of your credit may vary depending on factors such as whether you have children, dependents, disabilities, or meet other criteria.
If you are in the military or clergy, it is recommended that you review the Special EITC Rules, as using this credit may have an impact on other government benefits.
How to Check if You Qualify
If you claim the EITC, it is important to note that your refund may be delayed. According to the law, the IRS must wait until mid-February to issue refunds to taxpayers who claim the Earned Income Tax Credit.
If you are unsure whether you qualify for the EITC, the following resources may be helpful:
- Basic EITC qualifications
- Earned income requirements
- Income limits and credit tables
- Rules for qualifying children
- Disability and the Earned Income Tax Credit
How to Claim the EITC
To claim the EITC for past tax years, you can find instructions on how to do so. It is also important to be aware of common errors to avoid when claiming the credit.
Information if Your Claim is Audited or Denied
In the event that your EITC claim is audited or denied, it is important to know what steps to take. The following information may be helpful:
- What to do if your claim is audited
- What to do if your claim is denied
- How to claim the credit if it was denied in the past
Other Credits You May Qualify For
If you qualify for the EITC, you may also be eligible for other tax credits. Some of these include:
- Child Tax Credit and the Credit for Other Dependents
- Child and Dependent Care Credit
- Education Credits
Additional Resources
For more information about the Earned Income Credit (EIC), you can refer to the following resources:
- EITC Reports and Statistics
- Free tax preparation help
- Choosing a tax professional
- What you need to bring to your preparer
EITC Central provides tools and information for IRS partners, community organizations, employers, government agencies, offices, and tax preparers.