The Earned Income Tax Credit (EITC) helps low- to moderate-income workers and families get a tax break. If you qualify, you can use the credit to reduce the taxes you owe – and maybe increase your refund.
The IRS estimates that four out of five workers claim the EITC, which means millions of taxpayers are putting EITC dollars to work for them. Nationwide, as of December 2021, approximately 25 million taxpayers received over $60 billion in EITC. The average amount of EITC received nationwide was $2,411.
However, there are still millions of people not taking advantage of this valuable credit. EITC Awareness Day is one way to help the IRS reach the workers who qualify but miss out on thousands of dollars every year without the EITC. Today, federal, state, and local community partners can educate people about the credit and motivate them to join the four out of five people who file and claim the credit. This includes workers who are:
Living in rural areas
Self-employed
Receiving certain disability pensions or have children with disabilities
Without a qualifying child
Not proficient in English
Grandparents raising their grandchildren
Recently divorced, unemployed or experienced other changes to their marital, financial or parental status
For more information on the annual EITC Awareness Day, visit https://www.eitc.irs.gov/partner-toolkit/eitc-awareness-day/eitc-awareness-day-2
For tax return questions and where to file at no-cost (to those who qualify), visit:
United Way of Washtenaw County
UM Law School’s Low Income Taxpayer Clinic
michigan.law.umich.edu/academics/experiential-learning/clinics/low-income-taxpayer-clinic-0
Michigan Department of Treasure