What is the earned income tax credit (EITC)? Q.What is the earned income tax credit? A.The earned income tax credit subsidizes low-income working families. The credit equals a fixed percentage of earnings from the first dollar of earnings until the credit reaches its maximum. The maximum credit is paid until earnings reach a specified level, after which it declines with each additional dollar of income until no credit is available. Read more about What is the earned income tax credit (EITC)?
How does the earned income tax credit affect poor families? Q.How does the earned income tax credit affect poor families? A.The EITC is the single most effective federal antipoverty program for working-age households—providing additional income and boosting employment for low-income workers. Read more about How does the earned income tax credit affect poor families?
