It’s easier than
ever to find out
if you qualify for EITC
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| The
Earned Income Tax Credit (EITC)
sometimes called the Earned Income
Credit (EIC), is a refundable federal
income tax credit for low-income working
individuals and families. Congress
originally approved the tax credit
legislation in 1975 in part to offset
the burden of social security taxes and
to provide an incentive to work. When
the EITC exceeds the amount of taxes
owed, it results in a tax refund to
those who claim and qualify for the
credit.
To qualify,
taxpayers must meet certain requirements
and file a tax return, even if they did
not earn enough money to be obligated to
file a tax return.
The EITC
has no effect on certain welfare
benefits. In most cases, EITC payments
will not be used to determine
eligibility for Medicaid, Supplemental
Security Income (SSI), food stamps,
low-income housing or most Temporary
Assistance for Needy Families (TANF)
payments.
Will you
qualify for EITC this year?
Find out
if you are eligible for the Earned
Income Tax Credit (EITC) by answering
some questions and providing basic
income information using the
EITC Assistant. Available
in English and Spanish. |
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Tax Year 2007
Earned income and adjusted gross income (AGI) must each
be less than:
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$37,783 ($39,783
married filing jointly) with two or more
qualifying children;
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$33,241 ($35,241
married filing jointly) with one qualifying
child;
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$12,590 ($14,590
married filing jointly) with no qualifying
children.
Tax Year 2007 maximum
credit:
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$4,716 with two or
more qualifying children;
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$2,853 with one
qualifying child;
-
$428 with no
qualifying children.
Investment income must be
$2,900 or less for the year.
The maximum Advance
Earned Income Tax Credit (AEITC) for TY 2007 the
employer is allowed to provide throughout the year with
the employee's pay is $1,712.
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