What Is The Earned Income Tax Credit?

The Earned Income Tax Credit (EITC) helps low to medium income taxpayers. To qualify, you need to meet certain requirements. The EITC is subtracted from what you owe on your tax return and can possibly lead to a larger refund.

Do I Qualify for the Earned Income Tax Credit?

You work hard to provide for yourself and your family. That hard work deserves the biggest tax return possible. The Earned Income Tax Credit helps that happen.

The EITC provides a monetary credit amount that varies depending on your income, filing status and number of children.

For 2016 taxes, if you are filing Single, Head of Household, or Widowed, you qualify if you make less than the amounts below:

  • $14,880, no children
  • $39,296, one child
  • $44,648, two children
  • $47,955, three or more children

If you are Married Filing Jointly, you qualify if you make less than the amounts below:

  • $20,430, no children
  • $44,846, one child
  • $50,198, two children
  • $53,505, three or more children

How to Qualify for the Earned Income Tax Credit

If you have kids, you may qualify for a larger Earned Income Tax Credit if certain conditions are met.

The following qualifications are set up by the tax code.

  • Each child must be your son, daughter, stepchild, adopted child, or a foster child placed with you by a qualified adoption placement agency.
  • Each child you claim is younger than 19 (24 if a full-time student) at the end of the year, or any age if totally disabled
  • Each child lives with you in the United States for more than 6 months out of the year

Remember, any one child can only be claimed on one return.

What Will My Earned Income Tax Credit Look Like?

If you qualify for an EITC, your tax credit changes depending on the number of children you have.

For 2016 taxes, regardless of filing status, if you qualify, your maximum Earned Income Tax Credit will be:

  • $506, no children
  • $3,373, one child
  • $5,572, two children
  • $6,269, three or more children

How Do I File for an Earned Income Tax Credit

It’s not hard at all, and filing with Block makes it even easier! It just requires a few extra steps when filling out your return.

If you’re claiming an EITC and don’t have children, you can use Form 1040, 1040A, or 1040EZ as you normally would. If you do have children, use Form 1040 or 1040A with a Schedule EIC listing all qualifying children.

If you’re filing in an office, the experts at H&R Block can look at your personal situation and help determine if you qualify for this credit. And if you’d rather file your taxes yourself, know you are still backed by our 100% accuracy and maximum refund guarantees. In an office or online, don’t just get your taxes done. Get your taxes won with H&R Block.

Related Topics

Related Resources

Emerald Advance Line of Credit | H&R Block

The H&R Block Emerald Advance line of credit provides quick access to funds up to $1,000* starting November 20.

Top 5 Overlooked Tax Deductions

Worried about overlooked tax deductions when filing your return online? Learn how a Tax Pro Review can ensure that nothing’s missed.

You Could Have Filed for Free – Even If You Itemized Tax Deductions

Learning how itemize tax deductions can help you boost your refund. H&R Block’s More Zero option lets you file itemized returns for free.

Should I Hire Someone to Do My Taxes?

Life’s busy. Get your taxes done right with Tax Pro Go, a virtual tax service that connects you to an online tax expert for hassle-free assistance.