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Deductions & credits
The calculation of EIC looks at earned income but also at unearned income by including your AGI. This prevents a wealthy person with low earned income but a high AGI due to, for example, investments from getting the maximum credit. See the EIC worksheet. https://www.thetaxbook.com/updates/TheTaxBook/Client%20Tax%20Tools/Earned_Income_Credit_EIC_Workshee...
‎February 3, 2021
1:44 PM