Frequently Asked Tax Questions And Answers
Keyword: Advanced Earned Income Credit
8.3 Earned Income Tax Credit: Other EITC Issues
What are advance earned income credit payments?
If you expect to qualify for the earned income credit in 2004, you may be able
to start getting part of the credit with your pay in 2004, instead of waiting until
you file your 2004 tax return in 2005. This is called the advance earned income credit
or AEIC.
To get part of the credit with your pay, you must expect to have at least one qualifying
child, and expect to meet certain other conditions. You cannot get the AEIC if you
do not expect to have a qualifying child, even if you will be eligible to claim the
earned income credit on your 2003 return. To see if you qualify, refer to Form W-5 (PDF), Earned Income Credit Advance Payment Certificate,
or Publication 596, Earned Income Credit. Additional information on the
advance earned income credit is also available in Tax Topic 754.
References:
|
