If you earned a low wage in 2009, chances are that you may qualify for the earned income tax credit. The earned income tax credit was designed to help lower income individuals with and without children by offering a fairly generous tax credit. The earned income tax credit for 2009 has four different tiers. When it comes to claiming the earned income credit, people who have children will receive the greatest tax benefit. Also, the more children that you have, the higher of a credit you may be able to receive.
The earned income tax credit is available in four different amounts. The amounts are for no children, one child, two children or three or more children. Whether or not you qualify for the earned income tax credit depends on your income and the number of children that you have. With more children, you are allowed a higher income threshold. Here are the earning thresholds for the earned income tax credit 2009:
Three or more children: $43,279
Two children: $40,295
One child $35,463
No children $13,440
If you are filing jointly, you can add $5,000 to each of the amounts above.
The maximum tax credit amount varies from $457 to $5,657. Check the official IRS website for details on the earned income tax credit.
Author: John Zinsky