Overview
The Earned Income Tax Credit (EITC) is a federal income tax credit for low-income workers who are eligible for and claim the credit. The credit reduces the amount of tax an individual owes, and may be returned in the form of a refund.
EITC errors can potentially delay or even result in denial of the EITC portion of a refund. Use all of our tools to help ensure that the EITC is determined correctly.
To claim the EITC, individuals must meet the following rules:
EITC Information for Individuals
The EITC is money for people who work but don't earn high enough income, and could use the EITC to put food on the table, move into better housing, invest in education, transportation, or save for the future. Don't Guess. Use our "Eligibility Tool" to find out if you are eligible for EITC. You may have earned it, why not claim it!
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Will you qualify for the EITC this year? Tired of guessing? Don't guess. Know. There's a lot to know about qualifying for EITC, but the most important thing to know is you can get help figuring it all out. The EITC Assistant is a convenient way for you to find out if you are likely to qualify for the EITC tax credit by answering questions online, about yourself, your children, your living situation, and your income. You will see the results of the eligibility check right away, on your computer screen. The Assistant can be used by individuals, tax practitioners, employers, community and public service organizations, and IRS partners. EITC is a refundable credit that helps families. The EITC Assistant is:
- Easy to follow
- Simple to navigate
- Provides peace of mind
If in doubt, check it out using the EITC Assistant
EITC Information for Tax Preparers
Tax return preparers preform a vital function in assisting taxpayers in meeting their tax obligations and helping working families and individuals take advantage of the full range of tax benefits and credits. As a tax professional, you have a vested interest (as both a taxpayer and a tax preparer) in the protection of the integrity of the tax filing system. Please take advantage of the full range of services available to you to assist you in obtaining the latest information on EITC issues.
EITC Information for Employers
Find out how to provide your employees with information about the EITC and how the Advance EITC can increase your employees' take home pay at virtually no cost to you.
EITC Information for IRS Partners
Thousands of organizations nationwide are partnering with IRS to make a difference in their communities. We invite you to join our partner network and provide your clients, employees, organization members, and members of your communities with the information and assistance they need, want and value.
You can help promote the Earned Income Tax Credit (EITC) by using your communication network so that more eligible people receive it, bringing more dollars into your community. A tax credit is a dollar-for-dollar reduction of taxes owed. Some credits are refundable – taxes could be reduced to the point that a individual would receive a refund rather than owing any taxes.
Your organization can sponsor Volunteer Income Tax Assistance (VITA) sites in your community to prepare tax returns for those who cannot prepare their own yet cannot afford professional help.
EITC Toolkit
This electronic toolkit (available in English and Spanish) is an online resource for our partner organizations that work with taxpayers who may qualify for the Earned Income Tax Credit (EITC).
Avoid common Errors
EITC errors can potentially delay or even result in denial of the EITC portion of a refund. Use all of our tools to help ensure that the EITC is determined correctly.
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Watch out for income-reporting errors
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Be careful of duplicate identification numbers for EITC qualifying children. These account for a significant number of processing return errors. These types of errors occur when the Social Security Number of a child is used on multiple returns claiming EITC. Potential causes include:
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Divorced or separated parents claiming the same qualifying child.
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Two persons living in the same household who claim the same qualifying child.
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Persons using stolen social security numbers and names.
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Persons sharing the same social security number and names.
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Check to make sure you are using the correct date of birth.
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To avoid errors look at the Social Security card before filing the tax return.
EITC Certification Tests
EITC Certification Tests General Information
The goal of the certification tests is to evaluate high-risk claims before they are paid, using a process that is less burdensome to the taxpayers and less costly to the government than an audit.
Resources and Tools
Publications (English)
Publications (Spanish)
Form
Links to Recent IRS News Releases and Fact Sheets, Tax Tips and Tax Trails
- News release, January 20, 2004
Urges working taxpayers with low incomes to review their eligibility for the EITC to see if they qualify for tax relief.
- Fact sheet, January 2004
Outlines EITC Eligibility for 2003 Tax Year.
- Announcement, 2003-40
Describes the changes the IRS is testing in determining qualifying child eligibility under the EIC under I.R.C. Section 32.
- Fact sheet, June 14, 2003
Provides an overview of EITC and summarizes the IRS five-point EITC initiative.
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Tax Tips - Can be use if you are you looking for some Tax Law Topics/Tips for news articles or letters? Or our Volunteers may use these tips at their volunteer site.
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Recent IRS Reports on the Earned Income Tax Credit
Missing Children
The IRS is partnering with the National Center for Missing & Exploited Children (NCMEC) to help search for missing children. For more information:
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