To account for inflation, the IRS has increased the maximum income used to calculate EITC for the 2013 tax period. Qualified taxpayers will now be entitled to file for higher refunds.
The changes are as follows:
- Taxpayers without children: maximum EITC increases to $487.00.
- Taxpayers with one child: maximum credit is $3,250
- Taxpayers with two children: maximum credit is $5,372
- Taxpayers with three children: maximum credit is $6,044
The EITC is a tax credit targeting individuals and families earning low to moderate incomes. It allows them to receive a refund if their EITC calculation is greater than the taxes they owe.
Taxpayers meeting certain requirements can qualify, even if they don't owe taxes or are exempt from filing.
To learn more about EITC, visit the IRS site at http://1.usa.gov/Q5IB26