What you should know about

EARNED INCOME TAX CREDIT (EITC)

The new maximum credit:

• $5,657 for a family with three or more children
• $5,028 for a family with two children
•  $3,043 for a family with one child
• $457 if there are no children

The new income limits are:

• $43,279 ($48,279 if married filing jointly) for families with three or more children
• $40,295 ($45,295 if married filing jointly) for families with two children
• $35,463 ($40,463 if married filing jointly) if there is one child
• $13,440 ($18,440 if married filing jointly) for no children
• Investment income must be $3,100 or less
• Children must meet certain relationship and residency requirements

An estimated 20 to 25 percent more people may qualify for EITC but may not be aware of it.

The EITC is for people who work but don’t earn a lot of money. This audience includes people with limited English skills, rural residents,

Native Americans, people with disabilities, and nontraditional families such as a grandparent raising a grandchild.

The EITC is the federal government’s largest benefits program for working families. Created in 1975, the Earned Income Tax Credit

helps offset Social Security taxes and provides an incentive for work.