Earned Income Tax Credit 2009

The Earned Income Tax Credit (or “EITC”) is a federal program that lets employees who work for low wages get a larger tax refund. The amount of money you can get back through EITC is based on your annual taxable income and the number of children in your household.

Here are the annual earnings maximums for Tax Year 2009:

Individuals: $13,440
Individual with one child: $35,463
Individual with two or more children: $40,295
Individual with three or more children: $43,279

Married couple: $18,440
Married couple with one child: $40,463
Married couple with two or more children: $45,295
Married couple with three or more children: $48,279

The change in the Uniform Definition of a Child adds two new rules to the definition of a “qualifying child.”

The child must:

• Be younger than the person claiming the child
• Not have filed a joint return other than to claim a refund

Investment income must be $3,100 or less for the year.

The maximum Advance Earned Income Tax Credit workers can receive from their employers is $1,826.

Use the 2009 Earned Income Tax Credit Estimator.

Do I need to hire someone to figure this out and fill out all the forms?

No!

Here are the places to go for help:

A Volunteer Income Tax Assistance (or “VITA”) program exists to do this. With VITA, certified volunteers prepare returns at no cost for taxpayers of low to moderate income (generally $39,000 and below). To find a VITA site near you, call the IRS at 1-800-906-9887.

In several areas of Ohio, local coalitions of government and social service representatives are working to help families and individuals see if they qualify for the EITC. To see if there is an Ohio EITC Coalition in your area, check here.