DawnC
Expert Alumni

Deductions & credits

Some experts in this thread are answering questions that other community members, such as ''rpharbis'' have asked on this thread.    If your adjusted gross income (AGI) is too high, you don't qualify for the Earned Income Credit, even if your earned income shows an amount on the table.   

 

In order to be eligible for the Earned Income Credit:

  • you must have “Earned Income” (which we discussed above) AND
  • your Adjusted Gross Income (AGI) must be below the applicable limit.

See page 2 of this IRS document.   Your AGI is on line 11 of your Form 1040.  

 

@rpharbis  That is correct.  The lookback is only used for ''earned income'' and you can use 2019 if it was higher in 2019.   The AGI part of the calculation still comes from your 2020 tax return.    Hopefully, the unemployment compensation will help to make up for the lost credit in situations like yours.    ;(   

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