On January 26, 2024, the Internal Revenue Service and partners around the nation launched the annual Earned Income Tax Credit Awareness Day. This outreach campaign is designed to help millions of low-to-moderate-income working Americans that are eligible to claim the Earned Income Tax Credit (EITC).
Last year, more than 454,000 working individuals and families in Indiana received almost $1.1 billion in EITC, an average of $2,514.
“The IRS and our partners across the nation urge people to look into this frequently overlooked tax credit that can help millions of taxpayers,” said IRS Commissioner Danny Werfel. “On EITC Awareness Day and throughout the filing season, the IRS and our partners work hard to reach eligible taxpayers and provide useful information and resources to help people determine their eligibility and how to properly claim this valuable credit. Even people who don’t normally file might still be eligible for the Earned Income Tax Credit, which can be thousands of dollars,” added Werfel.
Nationwide last year, approximately 23 million workers and families received about $57 billion in EITC. The average amount of EITC received nationwide in 2022 was about $2,541.
To qualify, eligible workers must meet certain requirements and file a tax return, even if they are not required to file due to earned income levels. The IRS estimates that a third of those who qualify for EITC became eligible for the first time this year due to changes in their marital, parental or financial status.
The IRS will begin accepting 2023 returns on Jan. 29, 2024, but it cannot issue a refund that includes the EITC or Additional Child Tax Credit (ACTC) before the end of February. The IRS also reminds taxpayers that the quickest way to get a tax refund is by filing an accurate tax return electronically and choosing direct deposit for their refund.
Taxpayers can ensure they’re getting all the credits and deductions for which they qualify, including the EITC, by using a trusted tax professional, visiting a VITA/TCE site or by using IRS Free File on IRS.gov.
The IRS administers the EITC, which Congress originally approved in 1975. It was developed in part to offset the burden of Social Security taxes and provide an incentive to work.
