Earned Income Credit - what is that?
Apr 28th 2003, 6:00 pm
#1
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Earned Income Credit - what is that?
I filed this year's Tax return and just got a letter from IRS where they ask me to check some boxes so they can determine if I qualify for Earned income Credit (EIC). I have never heard of it. What is it? Is it good or bad? I mean, will it lower or increase my taxes?
BTW, I had such a low income this year, that I am below the income where I have to pay taxes at all, so on my forms, I calculated, that I should get back everything I paid from IRS. What can EIC do in this regard? I have no clue.
BTW, I had such a low income this year, that I am below the income where I have to pay taxes at all, so on my forms, I calculated, that I should get back everything I paid from IRS. What can EIC do in this regard? I have no clue.
Apr 28th 2003, 7:54 pm
#2
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This link should explain it all to you. Basically they are not trying to take anything extra, but checking to see if you can get it all back.
EIC applies to those who have a family income of $29,201 and are raising at least one child.
http://www.cbpp.org/eic2003/factseic-2003.pdf
EIC applies to those who have a family income of $29,201 and are raising at least one child.
http://www.cbpp.org/eic2003/factseic-2003.pdf
Apr 28th 2003, 7:55 pm
#3
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Forgot to add that if you do qualify for EIC you can get an extra amount of $2676 in addition to all your taxes refunded.
