How do I know if I qualify for the Earned Income Tax Credit?

In South Carolina, all taxpayers who meet the criteria set by the IRS may qualify for the Earned Income Tax Credit (EITC). To find out if you qualify, you must first meet the income requirements. The income cap is set each year by the IRS, and it varies based on how many children you have. To be eligible for the EITC, you must also meet certain other criteria such as having a valid Social Security Number, filing a federal income tax return, and meeting the filing status requirements. Additionally, you must have earned income from working either as a wage earner, self-employed, or a combination of the two. To qualify, your investment income must be less than $3,650 for the year. Finally, the EITC has two phases. The first phase is the Basic Credit, which is available to taxpayers without children. The second phase, the Additional Child Tax Credit, is available to taxpayers who have children. To qualify for this credit, one must meet certain age, residency, and relationship requirements for each child. If you believe you may qualify, you should look at the income requirements closely and then complete the Earned Income Tax Credit worksheet that comes with your tax return. This worksheet will help you determine your eligibility for the credit. Additionally, you can consult with a knowledgeable tax professional for assistance.

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How do I know if I qualify for the Earned Income Tax Credit?

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