The Earned Income Tax Credit (EITC) which goes to millions of lower to middle-income families helps to reduce poverty while also encouraging its recipients to work. A recent guide just published on the tax information journal, Internet Tax Connection shows how much the credit is worth and how to use the earned income credit calculator to figure out how much you could be owed this year.
The amount that can be claimed is found on the EIC tax table. The taxpayer’s yearly income and the number of qualifying children determine the amount. Qualifying children must be claimed as dependents through the Federal tax forms and can only be claimed once per year on a single tax form.
Any American looking to claim the maximum amount from the EITC table must have more than two qualifying children and will need to earn less than $45,802 if filing as a single taxpayer or $51,492 if filing as a married taxpayer filing jointly. Low-income families without children can also take advantage of the EITC. For these kinds of families, single taxpayers will need to have a yearly income below $15,270 and married taxpayers filing jointly will need to earn less than $20,950.
The EITC is a fully refundable tax credit and could be worth thousands of dollars. By using a step-by-step calculator such as the earned income credit calculator, taxpayers can easily find out how much they are entitled to this year. All they need do is answer a few questions to get an estimate of how much they could be entitled to in refunds.
To get an estimate of how much you could be owed this year in tax refunds, please use the Earned Income Credit Calculator Today here, https://internettaxconnection.com/try-the-new-earned-income-credit-calculator/
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/