What if I don't have kids? When most of you think of Earned Income Credit as a way to get back money on your IRS tax return, you generally think of claiming kids as dependents.
Well there's more to Earning Income Credit, or EIC for short than just getting credit for kids.
So what is an Earned Income Credit if it isn't just about getting money for kids you're claiming as dependents? EIC is a tax credit for low income working families and individuals.
The credit is designed to offset the money removed from your paycheck for Social Security Taxes and to provide an incentive to work.
After all, you do have to get earned income to qualify in the first place.
What do you have to do? So who can qualify, especially if you don't have any children? ·Anyone who is between 25 and 65 who have earned income.
Unearned income such as investments, interest, pensions, etc...
doesn't count.
·You can only file your taxes as single or married, filing jointly.
You can not qualify if you file married, separate.
·Naturally you must be a U.
S.
citizen.
·You can not be claimed as someone else's dependent, nor can you be claimed as a qualified child on a family member's EIC.
·You are not eligible if you can claim Foreign Earned Income outside of the United States.
·Of course since this a program designed to help low income families and individuals there is an income cap: o Your income can not be more than $12,590 if you file single and have no children.
o Your income can only be $33,241 if you have one child o Your maximum income to get Earned Income Credit is $37,783 if you have more than one child.
o Any investments you gain money from can not be more than $2,900.
Stay the course...
Even though you're struggling just to make ends meet Uncle Sam does help those who help themselves.
So as long as you're working then the IRS is willing to give you a helping hand.
Now you have the smoking gun...
Use it!