What is the Earned Income Tax Credit?
Download The Earned Income Tax Credit (EITC) is a refundable tax credit that low-income households receive when filing their federal income tax return. They receive a portion of their payroll and income taxes paid during the year. Benefits are calculated based on household size and income. The EITC mostly helps families with children. In 2005, a family with one child could receive a maximum of $2,662 and a family with two or more children $4,400. The maximum a single person could receive was $399. Federal Earned Income Tax Credit in Tax Year 2005 Source: Center on Budget and Policy Priorities In 2005, 22.7 million households received EITC benefits, totaling $37.4 billion or an average of $1,864 per household. An estimated 5 million people, including 2.5 million children, are lifted out of poverty as a result of receiving the EITC, currently making it the most effective government anti-poverty program. The EITC enjoys bipartisan support because it provides a clear incentive for people t
The Earned Income Tax Credit (EITC) is a special tax credit for low-income working families that can return up to $4,716 to eligible taxpayers. The EITC was created by congress in 1975 to ease the tax burden on working families and individuals and to offset some of their living expenses. Unfortunately 15 to 25% of those eligible for the Earned Income Tax Credit fail to claim it, leaving billions of dollars unclaimed each year. I-CAN!® E-File will help you claim this credit if you are eligible.
The Earned Income Tax Credit (EITC) is a special tax credit for low-income working families that can return up to $4,716 to eligible taxpayers. The EITC was created by congress in 1975 to ease the tax burden on working families and individuals and to offset some of their living expenses. Unfortunately 15 to 25% of those eligible for the Earned Income Tax Credit fail to claim it, leaving billions of dollars unclaimed each year. Yes I-CAN!® E-File will help you claim this credit if you are eligible.
