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Earned Income Tax Credit

Overview

 The EIC is a refundable credit allowed to certain low-income workers. The amounts below are for tax year 2025.

# of Qual. Children: None One Two Three
Max Credit  $649 $4,238 $7,152 $8,046
Totally Phased Out
Joint  $26,214 $57,554 $64,430 $68,675
Others  $19,104 $50,434 $57,310 $61,555

 Disqualifying Income – Over $11,950

 Related IRC and IRS Publications and Forms
  • Pub 596 – Earned Income Credit
  • Form 8867 - Paid Preparer’s Due Diligence Checklist
  • Form 8862 – Information to Claim EIC After Disallowance
  • Schedule EIC – Earned Income Credit
  • EIC Worksheet – 1040 Instructions
  • IRC Sec 32 

Effect on Welfare Payments - The IRS has said that the credit has no effect on certain welfare benefits. The credit that a taxpayer receives isn’t used to determine eligibility and amounts from such benefit programs as:

  • Temporary assistance for needy families
  • Medicaid and supplemental security income (SSI)
  • Food stamps and low-income housing

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