With the National Tax Reports, you can know what Earned Income Credit (EITC) is, how it works, how to calculate your credit amount, and who qualifies for the Earned Income Credit.
The Earned Income Tax Credit is a benefit for working people with low to moderate income. To qualify, you must meet certain requirements and file a tax return, even if you do not owe any tax or are not required to file. Some of the qualifications include having a valid social security number, having less than $3,400 of investment income for the tax year, being a U.S. citizen or resident alien all year, earning income and adjusted gross income within the IRS limits, and more. The Earned Income Tax Credit reduces the amount of tax you owe and may give you a refund.
The Earned Income Tax Credit only benefits working families – families with children receive a much larger credit than workers without qualifying children. It provides extensive support to low- and moderate-income working parents, but very little support to workers without qualifying children. Workers receive a credit equal to a percentage of their earnings up to a maximum credit. Both the credit rate and the maximum credit vary by family size, with larger credits available to families with more children.
It is important to fully understand the qualifications for Earned Income Credit and calculate it accordingly. The National Tax Reports will provide you with timely, accessible analysis and facts about Earned Income Credit and how you can successfully claim it.
About National Tax Reports
The National Tax Reports is an independent tax policy research organization. The National Tax Reports’ principled research, insightful analysis, and engaged experts have published reports for United States; tax policy at the federal, state, and local levels.
For more information, please visit: https://nationaltaxreports.com/earned-income-credit-eic-table/