The Earned Income Tax Credit (EITC) is, for the ignorance of many, one of the benefits that provides the greatest economic return to the consumer on the part of the Internal Revenue Service (IRS).
According to information revealed on the official IRS website, this service consists of an economic support that aims to help low to moderate-income workers and their families. Given this situation, the EITC has become one of the benefits that provides the highest return to the taxpayer compared to other types of subsidies.
As established by the federal agency, this credit is capable of providing an average refund of 2,743 dollars.
However, and like with other services, around 1 in 5 people claim this benefit, making it one of the least claimed services despite its significant sum.
Who qualifies for the EITC?
According to the IRS, all individuals with low or moderate income, based on the following parameters, have the opportunity to claim this benefit.
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Single taxpayers: less than 59,899 dollars per year
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Married couples filing jointly: less than 66,819 dollars
Additionally, if the applicant has a disability, has children or dependents, among other criteria, the amount of money may increase.
For example, in 2024, the maximum amount granted reached up to 7,380 dollars for families with three or more children. While single workers without children received an average of 632 dollars.
It is worth mentioning that according to the IRS, this support can be used to reduce the taxes owed or even to increase the amount of refund.
How to obtain the EITC: step by step
In addition to having a salary below the established limit, it is necessary to meet these requirements:
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Investment income not exceeding 11,600 dollars.
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Be a U.S. citizen or resident alien for the entire year.
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Have a valid Social Security number for the taxpayer, spouse, and qualifying children.
In addition to all of the above, and as a fundamental part of the process, every applicant must file their tax return using one of the forms provided by the IRS.
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Tax Counseling for the Elderly
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IRS Free File
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Volunteer Income Tax Assistance
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IRS Direct File
According to the IRS, the EITC should be delivered after the first half of February. However, it will not be until February 22nd that most taxpayers can see an update on the status of their refund using the “Where's My Refund?” tool.
*This article has been automatically translated using artificial intelligence