Category: EITC and CTC

How to Get the Most Out of Your Tax Refund

December 22, 2025

Last updated December 22, 2025

By Janne Huang

shutterstock_164415176

If you’re filing your taxes this year, consider how you can maximize your tax refund. You can boost your refund and save the money once it’s in your pocket.

File your taxes for free. Paid tax preparation costs an average of $300. Preparation fees cut into your refund and may be larger than you think: since the paid tax industry is not regulated, it’s easy for some preparers to take advantage of clients and charge unnecessary fees.

There are many ways to file your taxes for free. If you are fairly computer savvy and your taxes are straight forward, you may want to file your taxes online with GetYourRefund.org or MyFreeTaxes.com. If you would rather have someone help you prepare them, go to the IRS locator to find your closest free tax preparation site. If there isn’t a VITA site near you, GetYourRefund.org also offers limited virtual tax preparation through VITA volunteers.

As an added bonus, free tax volunteers are trained and certified each year by the IRS to ensure accuracy.

Don’t miss important tax credits. Tax credits can provide you money and help boost your tax refund. The Earned Income Tax Credit (EITC), in particular, is an important credit to lookout for. If you worked last year and made under about $69,000, check if you’re eligible for this valuable credit. For the 2025 tax year, the credit is worth as much as $8,000 depending on your income and family size. Many families who qualify for the EITC can also claim the Child Tax Credit.

If you or your child are in college, there are two additional credits that can help. The American Opportunity Tax Credit provides up to $2,500 in tax relief for the first four years of school. Up to $1,000 of the credit is refundable, and you can get it even if you don’t owe taxes. For students who have been in school longer, the Lifetime Learning Credit can help.

Save your refund. Getting a tax refund may feel like a gift from the government. However, it’s important to keep in mind that your refund is money that you have earned and are now getting back. Think about how you can spend some and save some of your refund.

If you have high interest debts, paying those debts first helps avoid losing money to interest payments. Additional money can be saved for an emergency fund in a savings account or put into retirement.

How much are the EITC and CTC worth in 2026?

December 11, 2025

These are the income guidelines and credit amounts to claim the Earned Income Tax Credit (EITC) and Child Tax Credit (CTC) when you file your taxes in 2026.

Earned Income Tax Credit Amounts

Number of Children: Single workers with income less than:  Married workers with income less than: EITC up to:
None $19,104 $26,214 $649
1 $50,434 $57,554 $4,328
2 $57,310 $64,430 $7,152
3 or more $61,555 $68,675 $8,046

EITC Investment Income Limit = $11,950

To claim the EITC, you must have:

  • Earned income from a job or self-employment. (There isn’t a minimum amount of income you need to earn to be eligible for the EITC.)
  • Valid Social Security numbers for every person listed on your tax return.

Want to get an idea of how much EITC you may qualify for? Visit our EITC Estimator.

Child Tax Credit Amounts

The Child Tax Credit is worth a maximum of $2,200 per qualifying child. Up to $1,700 is refundable.

To claim the Child Tax Credit, you must have:

  • Earned income of at least $2,500 to qualify for the refundable credit.
  • Valid Social Security numbers for each qualifying child under 17 and you or your spouse. (There is not a limit on the number of eligible children that you can claim for this credit.

Talking about the Earned Income Tax Credit

January 28, 2025

By Gionna Clift, 2024-2025 Get it Back Campaign Intern

The Earned Income Tax Credit (EITC) is a vital support that helps reduce poverty and provide financial support for people with low and moderate incomes. The 19th annual EITC Awareness Day is an opportunity to highlight the importance of this credit and help more eligible people learn how they can claim it.

Use these talking points year-round to help spread the word about the EITC!

EITC Impact

  • 2025 marks the 50th anniversary of the Earned Income Tax Credit (EITC). Since its enactment in 1975, the EITC has helped hundreds of millions of households pay for necessities and improved the well-being of adults and children. The EITC is an essential tax credit that should be strengthened and protected.
  • In 2024, about 23 million families and individuals claimed $64 billion in EITCs. This financial support reduced economic hardship and helped people cover essential expenses like food, housing, and medication.
  • Free tax filing services help people with low and moderate incomes maximize their EITC and other refundable tax credits that they qualify for. In 2021, Volunteer Income Tax Assistance (VITA) sites generated more than $1.7 billion in refunds, and in 2024, AARP Tax-Aide sites returned $1.3 billion in refunds to tax filers.

EITC & Families

  • The EITC reduces poverty for families with children in the United States. Without the EITC, the number of children living below the poverty line in 2018 would have been more than one-quarter higher.
  • Children in families that claim the EITC benefit significantly. In 2023, the EITC and the Child Tax Credit lifted 3.4 million children above the poverty line. Research shows that children in families claiming these credits experience stronger health, educational, and economic outcomes.
  • When eligible families claim the EITC with other tax credits, like the Child Tax Credit, they experience even greater financial benefits. Together, the EITC and Child Tax Credit lifted 10.6 million people above the poverty line in 2018. These tax credits help households care for their families and reduce financial stress.

EITC & Individuals

EITC & States

  • In 2024, [Number of EITC claims] residents of [state] claimed $[Total amount of EITC] in EITCs. EITC claimants strengthen local economies and neighborhoods in their communities, using the credit to buy groceries and pay bills.
  • In addition to the federal EITC, 31 states plus the District of Columbia and Puerto Rico have state EITCs. State child tax credits and EITCs build on the success of both federal credits by helping families afford the basics and reducing poverty, in turn helping them thrive in the long run through improved child and maternal health, and school achievement.

Call to Action

Remember to adapt these talking points based on your audience. Be sure to include a call-to-action so your audience knows what they can do. Here are some examples depending on who you want to reach:

Media

  • Amplify stories of individuals and families who have benefited from the EITC.
  • Highlight the impact of the EITC, eligibility, and how to claim the credit.

Elected officials

  • Strengthen the EITC to support more individuals and families.
  • Support efforts to make the EITC more effective and inclusive.

Funders

  • Invest in campaigns that enhance the EITC and programs that help connect eligible taxpayers to the credit.
  • Partner with community organizations and free tax filing programs to expand EITC access.

Community organizations and government agencies

  • Join efforts to help community members use free tax help and claim tax benefits they are eligible for including the EITC.
  • Inform the people you serve about the EITC and how to claim it.

Individuals

If you are communicating directly to tax filers, see our EITC and CTC toolkit for talking points. The toolkit also includes templates for a newsletter, press release, PSA, phone call and voicemail, and text messages. Additionally, there are flyers, mailers, and social media messages that are ready to use.

How much are the EITC and CTC worth in 2025?

November 7, 2024

These are the income guidelines and credit amounts to claim the Earned Income Tax Credit (EITC) and Child Tax Credit (CTC) when you file your taxes in 2025.

Earned Income Tax Credit Amounts

Number of Children: Single workers with income less than:  Married workers with income less than: EITC up to:
None $18,591 $25,511 $632
1 $49,084 $56,004 $4,213
2 $55,768 $62,688 $6,960
3 or more $59,899 $66,819 $7,830

EITC Investment Income Limit = $11,600

To claim the EITC, you must have earned income. There isn’t a minimum amount of income you need to earn to be eligible for the EITC.

Want to know how much EITC you may qualify for? Visit our EITC Estimator.

Child Tax Credit Amounts

The Child Tax Credit is worth a maximum of $2,000 per qualifying child. Up to $1,700 is refundable.

Taxes 101: How to File and Pay Taxes

August 23, 2024

Last updated January 22, 2026

By Jake Chang, 2024 Get It Back Campaign Intern

Are you new to taxes? Understanding taxes may seem difficult, but it doesn’t have to be.  Whether you don’t know where to start with tax filing or simply need a refresher, you are in the right place.  This guide introduces you to the United States tax system and walks you through the tax filing process.

Click on any of the following links to jump to a section:

What are taxes?

Taxes are an amount of money that people must pay to governments. Money from taxes pays for public services and programs such as highways, hospitals, schools, and more. While organizations and businesses also pay taxes to governments, this guide focuses on taxes individuals pay.

There are different types of taxes that you may already pay. For example:

  • You pay income tax on the money you earn.
  • Your employer takes your share of payroll tax from your paycheck and sends it to the federal government to fund social services.
  • Businesses collect sales tax when you buy something.
  • You pay property tax based on the value of a home that you own.

Different levels of government typically collect different types of taxes. For example, local and state governments manage property and sales taxes, while the federal government oversees payroll taxes. You may pay some types of taxes to more than one level of government, like income tax, which both state and federal governments collect.

What is income tax?

Federal and state governments collect income tax from money you earn. This includes salaries, wages, and tips—known as earned income—and unearned income such as interest from a savings account or dividends from stocks.

Income tax is a pay-as-you-go system. This means that the government requires you to make tax payments regularly as you earn wages.

How much is my income tax?

Your tax rates determine the amount of your income tax. The federal tax system has a progressive income tax, meaning people with higher incomes pay a larger percentage of tax on their income than people with lower incomes. View the federal tax rates based on income.

Some states have tax rates that are similar to the federal tax system’s progressive income tax. Others have a flat rate meaning everyone pays the same percentage of their income in taxes, regardless of their total income. And other states do not have state income tax at all. Find out the tax rate for your state if you don’t know it.

Can I lower the amount of income tax that I owe?

Yes. You may be able to lower the amount of income tax that you owe if you qualify for tax deductions or tax credits.

  • A tax deduction is an amount of money you can subtract from your income when you file your tax return to lower the amount of your income that will be taxed.
  • A tax credit is an amount of money you can claim when you file taxes if you meet certain guidelines. It can reduce the amount that you owe in taxes. Some tax credits are refundable, meaning they will give you money back if you don’t owe the full amount in taxes.

What is tax withholding?

When you earn money as an employee, your employer must send part of each paycheck to the IRS, based on your estimated income for the year. Called tax withholding, you are paying part or all of your taxes during the year.

Complete Form W-4, Employee’s Withholding Certificate to let your employer know how much to withhold from your paycheck. You’ll want to fill out this form every year and whenever your personal or financial situation changes (e.g. you move, have a child, take on another job, etc.). You can use the IRS’ Tax Withholding Estimator to help you estimate the amount of tax to withhold.

If you don’t have an employer and work for yourself, you must pay quarterly estimated taxes instead. You will need to complete Form 1040-ES, Estimated Tax for Individuals and pay taxes in four payments throughout the year. You can use our Quarterly Estimated Payments Calculator to help estimate your quarterly payments.

What happens if I withhold too little or too much tax?

If you or your employer withhold(s) too much tax from your paycheck, you will get this money back as a tax refund when you file taxes. If you don’t withhold enough money from your paycheck, you will owe any unpaid taxes.

Do I have to file a tax return?

Whether you need to file an income tax return generally depends on your income, age, and filing status. Most U.S. citizens and permanent residents who work in the U.S. must file and pay taxes.

The Internal Revenue Service (IRS) sets the income guidelines for who must file a tax return each year. Learn more about who needs to file a tax return based on the current tax year.

You also may have to file if you meet specific conditions. Use the IRS’ Interactive Tax Assistant to check whether you need to file.

If you do not owe taxes and aren’t required to file, you may still want to. You can claim any tax credits you are eligible for from up to three previous years. Some credits may provide money back even if you don’t owe any taxes.

What is the Internal Revenue Service (IRS)?

The IRS is the federal government agency that enforces federal tax laws. The IRS processes tax returns and helps tax filers meet their tax responsibilities. Most of the IRS’ work focuses on individual and corporate income taxes.

When you file your tax return, you send it to the IRS. This is true for any method you use to file taxes. The IRS issues tax refunds, notices, and other tax updates. If you receive something in the mail from the IRS, be sure to review it carefully and take the actions needed for follow-up.

Know that the IRS will NOT initiate contact with you through home visits, emails, text messages, telephone calls, or social media to request sensitive information (like your SSN or bank account details). The IRS also will NOT demand untraceable payments through money orders, gift cards, cryptocurrency, or cash. If you experience any of these, it is a scam which you should report to the Federal Trade Commission.

How do I file and pay taxes?

You pay taxes by filing a tax return and paying the amount (if any) calculated on your return. Remember, you will only owe taxes when filing your return if you didn’t withhold enough. Then you will still owe the remaining amount.

If you or your employer withheld too much tax, you may receive a tax refund. If you owe the government other debts, however, the government can apply the extra tax withholding to pay those debts.

To file taxes, you must fill out Form 1040, U.S. Individual Income Tax Return. You will need the following documents:

  • Form W-2 for every job you had last year (each employer should send this by January 31st by mail and/or electronically)
  • Other earning and interest statements (Forms 1099)
  • Records of income not included in Forms 1099
  • Records of expenses including receipts, credit card statements, etc.
  • Previous year tax returns, if you have them

In addition to these documents you typically need to file an individual tax return, depending on your situation, you may need forms reporting other types of income, insurance premium tax credits, or education expenses. Check our tax appointment checklist to see if you need other items.

Once you have your documents, there are several ways you can file your taxes by yourself or with help. You can:

  • E-file using tax preparation software (free and paid options are available).
  • Receive free tax help at a Volunteer Income Tax Assistance (VITA), Tax-Aide, or Tax Counseling for the Elderly (TCE), site.
  • Fill out paper forms and mail your tax return to the IRS (not recommended).
  • Find a paid tax preparer who can file for you.

If you owe taxes, you can pay in the following ways:

  • Follow the guidance from your tax software or tax preparer.
  • Online using an IRS Online Account. You can use a debit or credit card or pay from your bank account.
  • Mail a check or money order with your payment voucher to the IRS. (Use a trackable mail delivery service so you’ll have a record of the date that the IRS received your payment.)

If you need more time to pay your taxes, you can apply for a payment plan online that allows you to pay over time. However, the IRS will usually charge you fees and interest.

When do I need to file a tax return?

You need to file a tax return by Tax Day, which is usually on or around April 15. You can file as soon as the IRS announces the date that it accepts tax returns, usually late January. The period from January to April is typically called “tax season.”

You must also pay any taxes you owe by Tax Day. It is better to file earlier than later because the IRS may charge penalties—additional money owed on top of your taxes—if you file or pay after Tax Day. The IRS also charges fees if you are required to file a tax return and do not file at all. If you are due a refund and do not owe taxes, the IRS does NOT charge late fees.

Most people are required to file by Tax Day, but not everyone. If you need more time to file, you can request an extension (typically until October 15) by filing Form 4868, Application for Automatic Extension of Time To File U.S. Individual Income Tax Return, by Tax Day. The IRS also provides extensions for people in certain disaster areas and for other situations.

If you receive a tax filing extension, this does NOT mean you have more time to pay taxes. You still need to pay the estimated taxes on your return by Tax Day, even if you file later.

Remember, if you are due a refund and do not owe tax, you don’t need to request a filing extension. You can file your tax return when you are ready. 

What happens if I miss the tax filing deadline?

If you miss the filing deadline, you can still file past due tax returns up to three years after the original deadline. Filing past tax returns means you can claim any tax credits you are eligible for and reduce any fees and interest the IRS may charge.

What happens after I file my tax return?

After you file, you can check that the IRS received your tax return in the following ways:

  • Check your federal tax return status on your IRS Online Account within 24 hours if you filed electronically or four weeks after you mailed it. Go to the “Tax Records” section once you are in your account to view your tax return status.
  • Contact the IRS by phone at 800-829-1040 three weeks after you filed your return electronically or six weeks after you’ve mailed it.
  • Look for e-mail or status updates from your electronic filing website or software.

If you are eligible for a tax refund, you can check its status using the IRS’ Where’s My Refund? tool.

Once you’ve filed your taxes for the year, keep your tax documents for future reference. You may need them if you need to correct a mistake on your tax return by filing an amended return.

What happens if I don’t file?

If you don’t owe taxes and are due a refund, the IRS does not charge late filing fees or penalties. If something prevented you from filing taxes or paying on time—such as experiencing natural disasters or serious illness—the IRS may waive the fees it typically charges. 

If you do not file and pay your taxes on time, the IRS may charge fees based on how late you file, and the amount owed. The IRS will send you a notice or letter by mail notifying you if you owe fees.

Two common fees associated with not filing are the failure to file penalty and failure to pay penalty. These penalties are calculated as percentages of the original tax you owe and increase to as much as 25% each month that you do not file or pay. Always remember to file and pay taxes on time to avoid these additional charges.

Where can I find tax help?

You do not have to file your taxes alone. There are many in-person and electronic options available that can help you file your taxes.

Get in-person assistance:

  • Volunteer Income Tax Assistance (VITA), Tax-Aide, or Tax Counseling for the Elderly (TCE) sites are places that can file your taxes for free. IRS-certified volunteers staff sites serving different communities. Sites have income limits for who they serve, generally under about $69,000. Find a nearby site.
  • Local trusted preparers can also help file tax returns. Check that preparers are IRS-recognized and have a preparer tax identification number (PTIN). Ask about pricing before making an appointment with a preparer since prices for services can vary.  Be wary of “instant” refunds that are really just expensive, short-term loans. Review these tips to find a trusted preparer.
  • IRS Taxpayer Assistance Center offices provide general tax support. While they do not file tax returns, they can help with certain documents, like the application for an Individual Taxpayer Identification Number. Find a nearby office.

File your taxes with help (or on your own) electronically:

  • Get Your Refund is a fully virtual intake process that allows you to file with an IRS-certified volunteer or on your own. To file with help, your income must be less than $69,000. To file on your own, your income must be under $89,000.
  • MyFreeTaxes allows you to file your own taxes and has no income limit.

If you need to contact the IRS directly, call their individual helpline number at 800-829-1040 during 7 a.m. to 7 p.m. local time. 

Resources

  • Tax Time Guide – Internal Revenue Service (IRS)
    • Updates on yearly changes to taxes and tax filing process.
  • Understanding Taxes Student – Internal Revenue Service (IRS)
    • Activities and tax tutorials to learn about the federal tax system.
  • Taxes – USAGov
    • Landing page for resources and guides for filing federal income taxes.

 

Get Involved: Promote the EITC this Awareness Day

January 24, 2024

By Jake Chang, 2024 Get It Back Campaign Intern

Friday, January 26, 2024, is the 18th annual Earned Income Tax Credit (EITC) Awareness Day! Organized by the Internal Revenue Service (IRS) and its partners, EITC Awareness Day is a chance to share information about the EITC through engaging community members and organizations, posting resources online, and hosting events.

The EITC offers working individuals and families with lower to moderate incomes support during tax time. The credit helps boost earnings to provide financial security. In 2023, approximately 23 million workers and families received about $57 billion from the EITC.

When the EITC is claimed with the Child Tax Credit (CTC), the impact increases. In 2018, the EITC and CTC lifted 10.6 million people above the poverty line, and reduced poverty for 17.5 million others.

You can make a difference through promoting the EITC. Here are 6 ways you can help.

1. Share resources with clients, partners, and media

The 2024 Get It Back toolkit provides a range of materials you can use to reach out to your community about the EITC and CTC, including a press release, call and text scripts, and flyers and mailers. These resources can be useful for both in-person and virtual events, from phone banking to reaching out to local media. Engage different networks to inform individuals, families, and organizations about claiming tax credits and connecting with free tax help.

Outreach Kit

2. Post graphics on social media

Check out our graphics library to post content on your social media channels.  Make sure to use the tags #EITC and #EITCAwarenessDay!

       

3. Promote free tax filing services

Free tax filing services can help people get the most out of their tax return. With choices to file in-person and online, free tax filing is accessible and reliable. Consider sharing information about the following programs:

  • Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) are IRS-sponsored programs that provide free tax preparation for those who earn less than about $60,000. Find a location near you.
  • Get Your Refund is a fully virtual service created by Code for America in partnership with VITA. Filers can connect with an IRS-certified volunteer or file their own taxes. Services are available for those who earn under $66,000 (or under $79,000 if filing on their own).
  • MyFreeTaxes helps people file their taxes for free online. The site offers free step-by-step guidance and help through an online chat. There is no income limit to file your own taxes. If one earns less than about $60,000, they can choose to have your taxes prepared by an IRS-certified volunteer tax preparer.

4. Incorporate outreach for IRS Direct File

Direct File is a new free tax filing tool the IRS is piloting in 12 states this tax season. It will allow eligible taxpayers to file their federal 2023 tax return electronically, directly with the IRS beginning March 2024.

If you live in Arizona, California, Florida, Massachusetts, Nevada, New Hampshire, New York, South Dakota, Tennessee, Texas, Washington state, or Wyoming, you have another free tax service to promote!

5. Post these blogs

Share our blogs on what people need to know about the EITC and tax filing in 2024.

6. Spread the word about other refundable tax credits

Besides the EITC, there are several tax credits that eligible taxpayers can claim during tax season. Include the following credits with your EITC outreach efforts.

  • Child Tax Credit (CTC): This credit allows eligible parents and caregivers who earn at least $2,500 to claim up to $2,000 for each qualifying child under 17 on their tax return.
  • American Opportunity Tax Credit (AOTC): The AOTC helps reduce the costs of paying for college. Filers can claim a credit worth up to $2,500. Up to $1,000 of the credit is refundable.
  • Recovery Rebate Credits (stimulus checks): People who were eligible for and didn’t get the first, second, or third stimulus checks issued during the COVID-19 pandemic can still claim them. For the first and second stimulus payments (claimed as the 2020 Recovery Rebate Credit), people must file a 2020 tax return by May 17, 2024.

Need more ideas?

Check out these resources from partner organizations who are working to expand awareness of the EITC. Remember, sharing about the EITC isn’t limited to one day. Use these resources to continue your outreach year-round.

How much are the EITC and CTC worth in 2024?

December 13, 2023

These are the income guidelines and credit amounts to claim the Earned Income Tax Credit (EITC) and Child Tax Credit (CTC) when you file your taxes in 2024.

Earned Income Tax Credit Amounts

Number of Children: Single workers with income less than:  Married workers with income less than: EITC up to:
None $17,640 $24,210 $600
1 $46,560 $53,120 $3,995
2 $52,918 $59,478 $6,604
3 or more $56,838 $63,398 $7,430

EITC Investment Income Limit = $11,000

To claim the EITC, you must have earned income. There isn’t a minimum amount of income you need to earn to be eligible for the EITC.

Want to know how much EITC you may qualify for? Visit our EITC Estimator.

Child Tax Credit Amounts

The Child Tax Credit is worth a maximum of $2,000 per qualifying child. Up to $1,600 is refundable.

Tax Day 2023: What You Need to Know

April 13, 2023

By Reagan Van Coutren, 2022 Get It Back Campaign Intern

This year, Tax Day is on Tuesday, April 18, 2023! Filing your taxes doesn’t have to be difficult. Even if you don’t make enough money to be required to file, it is likely worth doing so. Filing taxes and claiming tax credits can help put money in your pockets at tax time.

Not sure where to start? Keep reading for answers to your questions so that you can confidently file your taxes this year.

Click any of the following links to jump to a section:

Why is my tax refund smaller this year?

March 14, 2023

By Reagan Van Coutren, 2022 Get It Back Campaign Intern

The government expanded the Earned Income Tax Credit and Child Tax Credit during 2021 to provide on-going relief due to the COVID-19 pandemic. The expansions made the tax credits available to more people than ever before.

Since these expansions have ended, the value of these credits has gone back to pre-pandemic amounts. This means that your tax refund this year may be smaller compared to last year.

Click any of the following links to jump to a section:

Earned Income Tax Credit (EITC) changes

What is the EITC?

The EITC is a tax credit for people with low to moderate incomes. The money from this credit can help pay for essentials such as transportation, groceries, and bills.

Who Qualifies for the EITC?

The EITC amount depends on your income, marital status, and family size.

To claim the EITC, everyone listed on the tax return must have a valid Social Security Number.

A comparison of credit eligibility and value in 2021 and 2022 is shown below.

The Earned Income Tax Credit in Tax Year 2021 & 2022

Number of children: Single workers with income less than: Married workers with income less than: 2021 EITC up to:  2022 EITC up to:
3 or more children $53,057 $59,187 $6,728   $6,935
2 children $49,399 $55,529 $5,980  $6,164
1 child $43,492 $49,622 $3,618  $3,733
No children $16,480 $22,610 $1,502  $560

*Note: You cannot get the EITC if you have investment income of more than $10,300 in 2022 or $10,000 in 2021. Investment income includes taxable interest, tax-exempt interest, and capital gain distributions.

What’s different about the EITC for 2021 vs. 2022?

The 2021 expansions to the EITC helped people without children. In addition to the credit value being higher ($1,502 in 2021 vs. $560 in 2022), the age requirement changed. Normally you must be between the ages of 25 and 64 to claim the EITC if you don’t have children. This is the rule for 2022. In 2021, some people ages 19-24 and over 65 were also eligible for the credit.

Child Tax Credit (CTC) changes

What is the Child Tax Credit?

The Child Tax Credit helps offset the costs of raising children. People with lower, moderate, and higher incomes may claim this credit. The money from this tax credit can help pay for food, childcare, school supplies, and more.

Who Qualifies for the CTC?

The CTC amount depends on your income and the number of eligible kids you have. Only part of the credit is refundable and will provide money back.

To claim the CTC, children must have a valid Social Security Number (SSN). The tax filer can have an SSN or an Individual taxpayer Identification Number.

A comparison of credit eligibility and value in 2021 and 2022 is shown below.

The Child Tax Credit in Tax Year 2021 & 2022

2021 CTC: 2022 CTC:
Age of child Children 17 and under qualify Children 16 and under qualify
Credit amount Up to $3,600 per child under age 6

Up to $3,000 per child age 6-17

 Up to $2,000 per child
Refund amount $3,600 per child under age 6

$3,000 per child age 6-17

 $1,500 per child
Income There is no income requirement to claim the credit You must earn more than $2,500 to get the refundable part of the credit

What’s different about the CTC for 2021 vs. 2022?

The 2021 CTC expansions made the CTC larger and available to more families. The CTC is worth up to $2,000 per qualifying child in 2022. Up to $1,500 is refundable. In 2021, the CTC was worth up to $3,600 and the full credit was refundable. To get the refundable part in 2022, you must earn at least $2,500. You could qualify for the 2021 CTC even if you didn’t have recent earnings.

In 2022, children must be 16 or younger to be claimed for the credit. Children aged 17 qualified for the 2021 expanded CTC.

Is it too late to claim the 2021 expanded CTC and EITC?

No! Tax credits can be claimed for up to three years past their original due dates. The EITC and CTC were expanded for 2021 due to the pandemic.

If you were eligible for these credits and didn’t claim them, it’s not too late. File your 2021 federal tax return by April 15, 2025, which is three years after the original due date.

Resources

 

 

Six Ways to Promote the EITC for Awareness Day

January 25, 2023

By Tatiana Johnson

Friday, January 27, 2023, marks the 17th annual Earned Income Tax Credit (EITC) Awareness Day! This is an opportunity for organizations across the country to promote the EITC through hosting events, sharing information online, and engaging the media.

The EITC is a critical opportunity for individuals and families with low and moderate incomes to better afford the rising cost of essentials. In 2022, 31 million workers and families claimed nearly $64 billion from the Federal EITC.

As you help connect your community with the EITC, you can also highlight free tax preparation services and other refundable tax credits, like the Child Tax Credit (CTC) and the American Opportunity Tax Credit.

Here are some ways you can celebrate EITC Awareness Day.

1. Post graphics on social media

We have created a variety of social media graphics that you can share on Facebook, Twitter, and Instagram.

2. Generate media attention

Connecting with the media allows you to spread the word about the EITC beyond your established network! Use these messaging and earned media materials to conduct local media outreach that will encourage reporters and producers to cover tax credits like the EITC and CTC.

You can also use this dashboard to locate data on EITC and CTC claims by state. Reporters and producers may find it useful to hear about the types of taxpayers that claim the tax credits.

3. Share EITC resources with clients and partners

Distribute outreach materials about tax credits to individuals, families, and partner organizations. This can help people to learn who can claim tax credits and to connect with free tax help.

Outreach Kit

4. Post these blogs

Share these blogs on Facebook, Twitter, and Instagram or repost to your blog. Let us know if you reblog a post.

5. Promote state EITCs

Beyond the federal EITC, 31 states plus D.C. and Puerto Rico have their own state EITCs. This means eligible individuals and families could get even more money back during tax time. Most state EITCs are refundable. Some states allow people with Individual Taxpayer Identification Numbers (ITINs) to claim the credit even though they don’t qualify for the federal EITC.

If your state has a state EITC, be sure to highlight it in your outreach efforts. Learn more about state EITCs here.

6. Incorporate outreach for 2021 expanded tax credits and stimulus checks

The government passed historic expansions to several tax credits for 2021 only to provide relief due to the COVID pandemic. More people than ever before were eligible to receive money back in their tax refund. It’s not too late for people who were eligible for the expansions and didn’t get them to claim them.

Include the 2021 expanded EITC, 2021 expanded CTC, and the Recovery Rebate Credit in your outreach efforts this year.

Need more ideas?

Tax credits like the EITC are available to people well beyond tax season. Some organizations have created useful resources to help promote the EITC and other tax credits all year! Here are a few: