The Earned Income Tax Credit: Current Issues and Benefit Amounts
Melinda Gish
Abstract
Open-access reader
Melinda Gish
Abstract
Open-access reader
The earned income tax credit (EITC), established in the tax code in 1975, offers cash aid to working parents with relatively low incomes who care for dependent children. The EITC is the only federal cash aid available to all working poor families with children. For eligible filers with income tax liability, the EITC reduces their taxes.
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The earned income tax credit (EITC), established in the tax code in 1975, offers cash aid to working parents with relatively low incomes who care for dependent children. The EITC is the only federal cash aid available to all working poor families with children. For eligible filers with income tax liability, the EITC reduces their taxes.
Key concepts: Earned income tax credit, Tax credit, Liability, Labour economics, Business, State income tax, Income tax, Cash