It's Extra Money for Working Families
The Earned Income Credit (EIC) is a special tax benefit for working people with low or moderate incomes. Qualified workers who file federal tax returns will get back some or all of the federal income tax that was taken out of their pay during the year. Single or married parents who worked full-time or part-time during the previous tax year can qualify by meeting certain income guidelines.
Cuyahoga County provides free preparation of income tax returns to low and moderate income working people. The county’s V.I.T.A. (Volunteer Income Tax Assistance) sites screen all taxpayers for eligibility for the Earned Income Tax Credit (E.I.T.C.) as well as other tax credits appropriate to the individual taxpayer(s).
Up-to-Date Tax Credit Eligibility Information for Tax Year 2009:
The Earned Income Credit, the income eligibility guidelines and maximum credit amounts for tax year 2009 are listed below:
- Families with one child who earn less than $35,463 in 2009 (or less than $40,463 for married workers) are eligible for a credit of up to $3,043.
- Families with two or more children who earn less than $40,295 in 2009 (or less than $45,295 for married workers) are eligible for a credit of up to $5,028.
- New! Families with three or more children who earn less than $43,279 in 2009 (or less than $48,279 for married workers) are eligible for a credit of up to $5,657.
- Workers without a qualifying child who earn less than $13,440 in 2009 (or less than $18,840 for married workers) are eligible for a credit of up to $457.
- Investment Income Limit = $3,100.
ADVANCE E.I.T.C.
Even workers who made too little to have paid any taxes the previous year can qualify and get extra cash back from the IRS! You can even get some of the EITC payment with your paycheck. The Earned Income Credit ADVANCE PAYMENT OPTION allows some workers who are raising children to receive a check from the Internal Revenue Service in their paychecks throughout the year, even before they file their tax return. Workers can apply by obtaining a W-5 Form, either from their employer or by calling 211 or 436-2000 First Call for Help. The completed form is turned in to the employer for processing. An eligible worker can get $50 or more in each bi-weekly paycheck.
Child Tax Credit
Child Tax Credit is up to $1,000 per qualifying child. The Additional Child Tax Earnings Threshold is $3,000 for tax year 2009.