Cynthiad66
Expert Alumni

Deductions & credits

No you should not amend your 2021 tax return to claim EIC.

 

I assume you are wanting to claim an EIC for 2021.  When you adjusted your 2021income in 2022 for a Claim of Right Repayment,  it seems that it made you eligible for the Earned Income Credit (EIC) for your 2021 tax return.   Remember, only the 2022 tax return was affected by the Claim of Right payment made so you do not qualify for the EIC on 2021.  EIC is computed based on income and the income on the actual 2021 return did not change.

 

A Claim of Right Repayment is a deduction you can take in the current tax year if you’re required to pay back income in excess of $3,000 from a previous tax year that you thought you could keep. You reported and paid taxes on the money, not knowing you’d have to pay it back.

@kle2

{Edited:  3/31/2023 | 8:37 AM PST}

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