Far too many Americans still forgo an important tax relief resource
each year - when they fail to claim the Earned Income Tax Credit
(EITC) - a federal tax credit for people who do not earn high
qualify could pay less federal tax, pay no tax or even get a tax
refund. That is, if they claim the credit on their annual tax
EITC helps hardworking taxpayers, yet each year an estimated 25
percent of people who qualify don't claim the credit," says
David R. Williams, Director, Earned Income Tax Credit at the Internal
Revenue Service. "At the same time, there are millions of
Americans who have claimed the credit in error, many of whom simply
don't understand the criteria. That's why the IRS is working to
make it easier for taxpayers to understand whether they are eligible."
To claim the
credit, you do not need to have children. If you have children,
they must meet the relationship, age and residency requirements
to claim the credit. If you were employed for at least part of
the year, you may be eligible for the EITC based on these general
requirements in 2015:
2015 Tax Year
Earned Income and adjusted gross income (AGI) must each be less than:
• $47,747 ($53,267 married filing jointly) with three or more qualifying children
• $44,454 ($49,974 married filing jointly) with two qualifying children
• $39,131 ($44,651 married filing jointly) with one qualifying child
• $14,820 ($20,330 married filing jointly) with no qualifying children
The maximum amount of credit for Tax Year 2015 is:
• $6,242 with three or more qualifying children
• $5,548 with two qualifying children
• $3,359 with one qualifying child
• $503 with no qualifying children
Easy Ways to Determine Whether You Qualify
lot to know about qualifying for EITC, but the most important
thing to know is that help is available. Point your browser to the EITC Home Page to find
the easy EITC
Assistant. By answering questions online about yourself, your
children, your living situation and your income, you'll quickly
find out if you are likely to qualify for the EITC. This tool
is also available in Spanish.
The IRS also
offers other resources to help you understand the EITC rules. IRS
Publication 596, Earned Income Credit, contains eligibility
criteria and instructions for claiming the tax credit. Copies
of the publication are available in English and Spanish and can
be found online or by calling 1-800-TAXFORM (1-800-829-3676).
Or simply talk to your tax professional for more information.
you may qualify to have your tax return filed electronically for
free. Electronic filing enables you to receive your refund faster.
Eligibility requirements are available at www.irs.gov in the Free File section.