The Earned Income Tax Credit is a refund you may receive when you file taxes if you work and earn below certain income limits
The Earned Income Tax Credit (EITC) is money the federal government returns to you through your tax return if you work, earn below a set income threshold, and meet other requirements. Unlike a deduction that lowers your taxable income, the EITC is a refundable credit — meaning you can receive money back even if you owe no taxes. The amount depends on your income, filing status, and whether you have children.
You claim the EITC by filing a tax return, even if no one required you to file. The IRS does not automatically send you the credit; you must report it yourself or have a tax preparer include it. Most people file between January and April, though you can file later and still receive the credit for that year.
Key Takeaways
- The EITC is a refund based on your work income and filing status, and you must file a tax return to receive it even if you earned very little.
- Income limits vary by year and filing status, but generally range from roughly $15,000 to $60,000 depending on whether you have children.
- You can claim the credit yourself using free tax software, through a tax preparer, or by mailing a paper return to the IRS.
- The IRS does not contact you to claim the credit — you must initiate the process by filing a return.
- If you have a child, you may also claim the Child Tax Credit on the same return, which is separate from the EITC.
Income limits and who can claim the EITC
Your income must fall below a threshold to claim the EITC. The limit changes each year and depends on your filing status and the number of children you claim. For the 2023 tax year (filed in 2024), the maximum income to claim the credit ranges from about $16,000 for a single filer with no children to about $63,000 for a married couple filing jointly with three or more children. The IRS publishes updated limits each January on its website.
You must have earned income from work — wages, self-employment income, or certain other sources — to claim the credit. Income from unemployment benefits, Social Security, or investments does not count. If you are married, you can file jointly to combine your income, which sometimes allows you to claim the credit when filing separately would not.
If you have children, they must be your biological child, stepchild, foster child, or sibling, and they must live with you for more than half the year. The child must be under 17 at the end of the tax year, have a valid Social Security number, and be a U.S. citizen, national, or resident alien. You can claim up to three children on your return to receive the maximum credit.
How much money you may receive
The amount of the EITC depends on your income and family situation. For 2023, a single filer with no children could receive up to about $600. A single parent with one child could receive up to about $3,900. A married couple with two children could receive up to about $5,900. These amounts increase slightly each year with inflation.
The credit is largest when your income is low and decreases as you earn more. Once your income exceeds the limit for your situation, you receive nothing. The IRS publishes a table each year showing the exact credit amount for different income levels, or you can use the IRS EITC calculator on its website to estimate what you might receive.
Filing your return to claim the EITC
You have three main ways to file: using free tax software, paying a tax preparer, or mailing a paper return. The IRS offers free filing software through its Free File program if your income is below a certain threshold — for 2024, that threshold is $79,000. You can find participating software companies on the IRS website under "Free File."
If you use free software, you will enter your income, filing status, and information about any children. The software will calculate your EITC automatically and include it on your return. You then file electronically, which is faster than mailing and produces a refund in about two weeks.
If your income is above the Free File threshold or you prefer help, you can pay a tax preparer or visit a free tax clinic. Many nonprofits and libraries offer free tax preparation during tax season. A preparer will ask you the same questions the software would and file your return for you.
If you file by mail, you will need IRS Form 1040 (the main tax form) and Schedule EIC (the EITC worksheet). You fill in your income, filing status, and dependent information, calculate the credit using the IRS tables, and mail the forms to the address listed in the instructions. This method takes longer — typically four to six weeks for a refund.
Documents you will need to file
Gather these items before you start your return: your Social Security number and your spouse's (if filing jointly), your children's Social Security numbers and dates of birth (if claiming them), your W-2 forms from your employer or 1099 forms if self-employed, and proof of income such as pay stubs or bank statements showing deposits.
If you have a child, you will also need to confirm they lived with you for more than half the year. You do not submit proof with your return, but keep records in case the IRS asks later. If you are claiming a child who is not your biological child, keep documentation showing your relationship — adoption papers, court orders, or birth certificates.
If you are self-employed, gather records of all income and business expenses. The IRS may ask for receipts, invoices, or bank statements, so keep those for at least three years after you file.
What happens after you file
If you file electronically, the IRS typically processes your return within two weeks and deposits your refund into your bank account. If you chose to receive a paper check, it takes about four weeks. You can check the status of your refund using the IRS "Where's My Refund?" tool on its website — you will need your Social Security number, filing status, and the exact refund amount.
The IRS may contact you if there is an issue with your return — for example, if your income or dependent information does not match their records. They will send you a letter explaining what they need. Respond within the important date they give you, or you may lose the credit.
Keep a copy of your filed return and any IRS letters for your records. The IRS can audit a return up to three years after you file, so hold onto your supporting documents for that long.
Common mistakes that delay your refund
The most frequent error is entering your Social Security number or your child's incorrectly. Double-check these numbers before you file — a single wrong digit will cause the IRS to reject the return or reduce your credit. Another common mistake is claiming a child who does not meet the age, relationship, or residency requirements. The IRS cross-checks this information with Social Security records.
Filing with the wrong filing status also reduces the credit. If you are married, filing jointly usually gives you a larger credit than filing separately. If you have a child but are not married, make sure you are filing as "Head of Household" rather than "Single" — this status is available if you pay more than half the household expenses and have a dependent living with you.
Entering the wrong income is another issue. Use the exact amounts from your W-2 or 1099 forms, not estimates. If you are self-employed, report all income even if it is below the threshold for a 1099 form to be issued.
Frequently Asked Questions
Can I claim the EITC if I did not work the entire year?
Yes. You can claim the credit as long as you had earned income during the year, even if you worked for only a few months. Your total income for the year must still fall below the limit for your situation.
What if I have a child but do not know their father and he does not help support them?
You can still claim the child if you meet the other requirements — they live with you, have a valid Social Security number, and are under 17. You do not need the other parent's permission or involvement to claim the EITC.
Can I claim the EITC and the Child Tax Credit for the same child?
Yes. The Child Tax Credit is separate from the EITC. If your child meets the requirements for both, you can claim both credits on the same return, and they will add together.
What if the IRS says I owe money back because I claimed the EITC incorrectly?
The IRS will send you a letter explaining what was wrong. You can respond with documentation showing you met the requirements, or you can accept their decision and repay the amount. If you disagree, you have the right to appeal.
Can I file my return after April 15 and still get the EITC?
Yes. There is no important date to claim the EITC — you can file a return for a past year at any time. However, the IRS will not refund the credit if you wait more than three years after the original due date of the return.