![]() Scenario 2: Megan has 1 child and an earned income of 14,000 for the year – Megan is entitled to the full EIC credit for a single filer with 2 children since her earned income is above the “Earned Income required to get the maximum credit (lower limit” on line 2) but below the “Starting Threshold Phaseout Amount” on line 3. ![]() ![]() The amount of credit would vary based on the number of qualifying children. The minimum amount of earnings to get a partial credit is $1. Scenario 1: Sara has an earned income of $1,200 for the year – Sara would be entitled to a partial credit since she her earned income is less than the “Earned Income required to get the maximum credit (lower limit)” per line 2. Examples on figuring the EITC from the tables above: Or said another way you need to earn between $1 and the amounts in line 4 or 6 (based on filing status) to get at least some of the EIC. If your income is between lines 2 and 4 (single filer, HoH or SS) or lines 2 and 5 (married) then you get the FULL EIC for the year. ![]() The “ Phaseout Threshold Amount Begins“ ( lines 3 and 5depending on filing status) and “ Phaseout Amount When Credit Ends” ( lines 4 and 6 depending on filing status) are the adjusted gross income (AGI) ranges from where the EITC begins to phase out to where it reaches $0, or the income at or above which no credit is allowed. The amount of credit you receive or qualify for varies based on income and number of children so will differ from person to person. Earned income includes all the taxable income such as Wages, salaries, and tips, certain disability benefits and self-employment earnings. To start claiming this credit you must have at least $1 of earned income, with line 2 showing the minimum amount of earned income required to get the maximum earned income tax credit. The maximum earned income credit allowed/payable for the given tax year is shown in line 1. Get the latest money, tax and stimulus news directly in your inbox How the Earned Income Tax Credit Works and How to read EITC tables: Income (AGI) Maximum When Credit Eligibility Ends (for Married Filing Jointly) Phaseout Threshold Amount Begins (for Married Filing Jointly)Ħ. Income (AGI) Maximum When Credit Eligibility Ends (for Single, SS, or HoH)ĥ. Phaseout Threshold Amount Begins (for Single, SS, or HoH)Ĥ. Earned Income Base Amount required to get maximum creditģ. There was a possibility that the 2021-2022 EITC expansion would be extended via Biden’s original Build Back Better plan however the EITC (and CTC) expansion was not part of the final bill ( Inflation Reduction Act) that was eventually passed. You will notice the considerable decrease shown in the 2022 tables versus those in 2021. The main difference to 2021 levels is that the expanded ranges and amounts available (via Biden’s ARPA bill) to childless workers won’t be available in 2022. The IRS has released the latest inflation adjusted EITC tables which are shown below. 2018 Earned Income Tax Credit (for Returns Filed in 2019)įinal 2022 EITC tables (for 2023 tax filings).2019 Earned Income Tax Credit (for Returns Filed in 2020).2020 Earned Income Tax Credit (EIC) Table.Using 2019 Income Levels for 20 EITC Eligibility (Look Back Provision).2021-2022 Earned Income Tax Credit ARPA Expansion.2023 EITC tables (for 2024 tax filings).Filing a Tax Return with the Earned Income Tax Credit (EITC) and PATH Act.Final 2022 EITC tables (for 2023 tax filings).
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