Using 2019 EIC

[Kellz30]

I am hearing if your 2019 EIC/EITC was more in 2019 than 2020, you can use your 2019 to file. Is this true? Will the turbo tax app ask me if I want to use my 2019 to boost my refund?

[DianeW777]

Yes, you can use your 2019 earned income if that is more beneficial on the 2020 tax return.. The earned income tax credit (EITC) can be calculated on either the 2019 earned income or the 2020 earned income and the choice is yours. It is completed on the 2020 tax return.

Yes, TurboTax will walk you through the steps and allow you to choose 2019 earned income or 2020 earned income.  Try it both ways to see which is best and then be sure you verify which you should use.  Then confirm you have selected the correct response for the year you want to use. It is ready and functioning correctly in TurboTax. See the steps to entry and the image below for assistance.

• Sign into your TurboTax account > Select Search at the top right
• Type EITC > Select Jump to EITC 

The earned income tax credit (EITC) is calculated on a scale based on marital status and number of dependents. If you fall into the mid-range of income, in both tax years, the outcome may not vary much at all.

The income starts at $0 through a maximum of $56,844 based on marital status, number of dependents. The mid range of that earned income for any marital status provides the highest EITC, and reduced or increased earned income from that point will reduce the EITC.

• Example: Married with three children | The maximum credit is the same between the following wage amounts: $14,550 - $24,850
• * EITC Table in IRS Publication 593, page 31.

• EITC 2020 

* Using 2019 publication figures, 2020 publication has not yet been released by the IRS.