I’m filing as single, no kids, sole proprietor of a business(musician). I drew out some money early from a Roth IRA, but made very little on it and am paying a tax penalty. That’s all fine and clear to me but the part I don’t understand is this -
“You are receiving a $2 Earned Income Tax Credit because your total investment income of $67 exceeds the $11,600 limit to be eligible for the credit. To qualify for the Earned Income Tax Credit, your investment income must be $11,600 or less, regardless of your filing status or number of dependents.”
I feel like there’s either a glitch or an error on my end but I’m not sure how that happened? Can someone please help me make sense of this?
Thank you in advance, any help would be greatly appreciated.
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Try this IRS tool to see what it says about EIC for you.
https://www.irs.gov/credits-deductions/individuals/earned-income-tax-credit/use-the-eitc-assistant
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