How to Claim the Earned Income Tax Credit

The Earned Income Tax Credit (EITC) is a refundable tax credit for working individuals and couples with low to moderate incomes. Its purpose is to reduce the amount of tax owed and, in many cases, provide a financial refund to supplement wages. This credit is beneficial for taxpayers who have children, and it is intended to offset the burden of Social Security taxes and provide an incentive to work.

To receive the credit, you must file a federal tax return, even if you do not owe any tax or are not otherwise required to file. The amount of the credit depends on your income, filing status, and the number of qualifying children you have. Because it is a refundable credit, you can receive a payment from the government that is greater than the total amount of income tax withheld during the year.

Determining Your Eligibility for the EITC

Rules for All Filers

To qualify for the Earned Income Tax Credit, all tax filers must satisfy a set of requirements. A primary rule is that you, your spouse if filing jointly, and any qualifying child you claim must have a Social Security number that is valid for employment. You must file as Single, Head of Household, Qualifying Widow(er), or Married Filing Jointly.

Your filing status cannot be “Married Filing Separately.” However, an exception may apply if you are married and not filing a joint return if you had a qualifying child live with you for more than half the year and you meet certain criteria. This exception applies if you either lived apart from your spouse for the last six months of the tax year or are legally separated and did not live in the same household as your spouse at the end of the tax year.

Another rule is that you cannot be claimed as a dependent or a qualifying child on anyone else’s tax return. You must also be a U.S. citizen or a resident alien for the entire tax year. For the 2025 tax year, your investment income must not exceed $12,000. Your earned income and adjusted gross income (AGI) must also be below certain thresholds that vary based on your filing status and the number of children you claim.

| Number of Qualifying Children | For Single, Head of Household, or Qualifying Surviving Spouse Filers, AGI must be less than: | For Married Filing Jointly Filers, AGI must be less than: | Maximum Credit Amount |
| :— | :— | :— | :— |
| Zero | $18,591 | $25,511 | $660 |
| One | $50,954 | $57,874 | $4,379 |
| Two | $58,028 | $64,948 | $7,238 |
| Three or more | $62,228 | $69,398 | $8,143 |

Table data is for the 2025 tax year, for returns filed in 2026.

Rules if You Have a Qualifying Child

If you intend to claim the EITC with a child, that child must pass four specific tests to be considered a “qualifying child.” These tests are related to their relationship to you, their age, where they lived during the year, and whether they filed a joint tax return.

The relationship test requires the child to be your son, daughter, stepchild, foster child, brother, sister, half-brother, half-sister, stepbrother, stepsister, or a descendant of any of them (for example, a grandchild or nephew). The age test has several components. At the end of the tax year, the child must be younger than you (or your spouse if filing jointly) and either under age 19, or under age 24 and a full-time student for at least five months of the year. There is no age limit for a child who is permanently and totally disabled.

The residency test requires that the child must have lived with you in the United States for more than half of the tax year. The joint return test specifies that the qualifying child cannot have filed a joint return for the year, unless they filed it only to claim a refund of income tax withheld or estimated tax paid.

Rules if You Do Not Have a Qualifying Child

You can claim the EITC without having a qualifying child, but there are specific rules for this situation. You must meet all the general rules for all filers and also meet specific age and residency requirements that apply only to those filing without a qualifying child.

To be eligible, you must be at least 25 years old but under 65 at the end of the tax year. If you are married and filing a joint return, only one spouse needs to meet this age requirement. You must also have lived in the United States for more than half of the year.

Information and Documents Needed to Claim the EITC

Gathering the correct information and documents will streamline the filing process and help prevent errors that could delay your refund. You will need identifying documents, income statements, and specific information about any qualifying children.

You will need the Social Security cards for yourself, your spouse if you are filing a joint return, and every qualifying child you intend to claim. The names and numbers on your tax return must match the Social Security cards exactly. You will also need birth dates for everyone who will be listed on the return. For direct deposit of your refund, you will need your bank account and routing numbers.

Your income documentation is also important. This includes Form W-2 from all employers and any Forms 1099-NEC or 1099-MISC if you performed work as an independent contractor. If you are self-employed, you must have complete records of your business income and expenses to accurately calculate your net earnings. These records can include bank statements, receipts, and invoices.

If you are claiming the EITC with a qualifying child, you must complete Schedule EIC, Earned Income Credit. On this form, you will provide specific information for up to three qualifying children, including the child’s first and last name, Social Security number, and year of birth. You will also need to specify your relationship to the child and the number of months the child lived with you during the tax year.

Step-by-Step Guide to Claiming the Credit on Your Tax Return

Once you have determined your eligibility and gathered all the necessary documents, you can calculate and claim the credit on your tax return. This process involves using a specific worksheet provided by the IRS and entering the resulting credit amount on your Form 1040.

The first action is to calculate the exact amount of your credit. You will use the EITC Worksheet, which is found in the instructions for Form 1040. This worksheet guides you through a series of steps based on your earned income, adjusted gross income, and the number of qualifying children you have to ensure you arrive at the correct credit amount.

After completing the worksheet, you will transfer the calculated credit amount to the appropriate line on your Form 1040, U.S. Individual Income Tax Return. The specific line number for the Earned Income Tax Credit is clearly designated in the “Payments” section of the form.

If you are claiming the credit with a qualifying child, you must attach the completed Schedule EIC to your Form 1040. Failure to attach this schedule when required will result in the disallowance of your credit claim.

The final step is submitting your return. If you are e-filing, the tax software will automatically perform the EITC calculation, populate the correct line on Form 1040, and electronically attach Schedule EIC if needed. For those filing a paper return, you must physically attach the completed Schedule EIC behind your Form 1040 before mailing it.

After You Claim the EITC

After you have filed your tax return and claimed the Earned Income Tax Credit, there are a few things to expect regarding your refund. The Protecting Americans from Tax Hikes (PATH) Act directly impacts the timing of EITC-related refunds. By law, the IRS cannot issue any refund that includes the EITC before mid-February as a measure to help prevent fraudulent claims.

The IRS expects most EITC-related refunds to be available in taxpayer bank accounts or on debit cards by early March, provided the taxpayer chose direct deposit and there are no other issues with the return. You can monitor the status of your refund through the “Where’s My Refund?” tool on the IRS website or via the IRS2Go mobile app.

In some cases, the IRS may need to verify the information you submitted to claim the EITC. If this happens, you will receive a letter or notice in the mail. A common notice is the CP75, which is a request for more information to prove your eligibility for the credit. The notice will specify what documentation the IRS needs, which could include copies of birth certificates, school records, or medical records.

It is important to respond to any IRS notice promptly and provide all the requested documentation by the deadline given. If you do not respond, the IRS will disallow your EITC claim, which will reduce your refund or could result in a balance due. The notice will provide instructions on how and where to send the required documents.