EITC HELP!

You need to file a return to receive an Earned Income Credit. It is based on income that you earn, such as a job or self-employment and generally requires that you have qualifying dependents to meet the income limitations. 

To see if you qualify:

1. Enter any income in the return first 
2. Go to the Deductions and Credits section
3. Scroll down to You and Your Family and click on Show More
4. Click on Start or Revisit for Earned Income Credit (EIC)

IRS says when figuring your earned income for purposes of the EIC, don't include any of these amounts.

• Basic pay or special, bonus, or other incentive pay that is subject to the combat zone exclusion 
• Basic Allowance for Housing (BAH).
• Basic Allowance for Subsistence (BAS).
• Any other nontaxable employee compensation.
• Interest and dividends.
• Social security and railroad retirement benefits.
• Certain workfare payments.
• Pensions or annuities.
• Veterans' benefits (including VA rehabilitation payments).
• Workers' compensation.
• Unemployment compensation.
• Alimony and child support.

 

This is a TurboTax Help Article about qualifying dependents. 

This is a quick TurboTax Help video explaining Earned Income Credit basics. 
 

ONLY on the 2021 return could  you get the EITC  with no income ... for every other tax year you must have earned income.  

Right, but as I stated, I do not have a job or income. I receive disability, which I report. So, if my income is zero, how do I get the EITC?

@ryangd You cannot get earned income credit for a 2022 tax return unless you worked and earned income.  If you did not work you will not get earned income credit.  The only possible way you could get EIC would be if the disability income you are receiving is reported on a W-2.   If you are getting Social Security disability you are not eligible for EIC.

 

 Earned Income Credit—-the rules are back to the “old” rules—

Those under 25 and over 65 without children are not eligible as they were uniquely in 2021.   And you cannot use your income from any earlier tax year to get the EIC for a 2022 return.  There is no “lookback” for 2022.  EIC for 2022 will be based on the income you earned by working in 2022.

 

https://ttlc.intuit.com/questions/1899157-what-are-the-qualifications-for-the-earned-income-credit-eic-or-eitc

https://www.irs.gov/credits-deductions/individuals/earned-income-tax-credit/use-the-eitc-assistant

@ryangd  said "I have no W2 or income this year. I receive disability, which I report.  I am quite sure I qualify for the EITC. So, if my income is zero, how do I get the EITC?

 

Some disability income is taxable and is considered earned income, although most disability income is not.  

 

The earned income credit is first calculated (actually looked up in a table) on your earned income then it is calculated on your total income (AGI). You get the lesser of the two calculated EIC numbers,

 

So, bottom line, if your income is zero, you can not get any EITC.

 

 If you receive a form W-2 or 1099-R, for the disability income, it is taxable and may be eligible for the EITC. For a detailed explanation, see:

https://ttlc.intuit.com/community/disability/help/is-disability-income-taxable/00/26023