Eligible taxpayers could receive more than $7,400
JERSEY CITY, N.J., Jan. 26, 2024 /PRNewswire/ — Today is Earned Income Tax Credit (EITC) Awareness Day and Jackson Hewitt Tax Services® wants to ensure more taxpayers know about this often overlooked, but highly valuable tax credit that can reduce taxes owed and increase refunds. Americans can begin preparing to file their taxes now ahead of the IRS beginning to accept and process 2023 tax returns on Monday, January 29, 2024. Taxpayers who qualify to claim the EITC could receive more than $7,400 in their tax refund this year.
“Unfortunately, there are millions of taxpayers who could claim the Earned Income Tax Credit each year, but don’t realize it,” said Mark Steber, Chief Tax Information Officer at Jackson Hewitt. “The IRS reports that there are about 25 million eligible taxpayers who qualify for up to the $70 billion of EITC each year, but one in five eligible taxpayers fail to claim the credit. This means they are missing out on one of the biggest tax benefits they deserve and are likely getting a smaller federal tax refund than they are owed. Furthermore, the IRS does not check eligible tax returns to make sure the credit is taken. At Jackson Hewitt, we go through our clients’ finances and tax return closely to guarantee they are claiming every credit and deduction they deserve for the biggest refund possible.”
The amount a taxpayer receives from the Earned Income Tax Credit is based on income, filing status, and family size. For tax year 2023, qualifying taxpayers could get up to:
- $600 with no children
- $3,995 with one child
- $6,604 with two children
- $7,430 with three or more children
The earned income requirements to be eligible to claim the EITC are:
|
Number of Qualifying Children |
For Single/Head of Household |
For Married Filing Jointly, |
|
No children |
$17,640 |
$24,210 |
|
One child |
$46,560 |
$53,120 |
|
Two children |
$52,918 |
$59,478 |
|
Three or more children |
$56,838 |
$63,398 |
“One thing I often see misunderstood about the Earned Income Tax Credit is the fact that the income requirements must come from earned income, not simply taxable income. While other income is still taxable, it doesn’t count toward the EITC. This includes taxable money from things like unemployment benefits, child support, Social Security, interest and dividends on investments, passive income, and pensions or annuities,” Steber said. “So, I encourage taxpayers who think they don’t qualify for this credit to talk with their Tax Pro. We want to see everyone who is eligible get the EITC and receive the largest possible tax refund.”
Taxpayers who claim the EITC won’t receive their tax refund until mid-February because under federal laws the IRS needs to check these tax returns more carefully to avoid fraud claims.
For more information about the Earned Income Tax Credit and other valuable credits taxpayers shouldn’t miss claiming, visit jacksonhewitt.com. To find the nearest Jackson Hewitt office and book an appointment, visit jacksonhewitt.com/officelocator.
About Jackson Hewitt Tax Service Inc.
Jackson Hewitt Tax Service Inc. is an innovator in the tax industry with a mission to provide its hardworking clients access to simple, low-cost solutions to manage their taxes and tax refunds. Jackson Hewitt is devoted to helping clients get ahead and stands behind its work with its Maximum Refund Guarantee and Lifetime Accuracy Guarantee® (restrictions apply, see Jackson Hewitt’s website for more details). Jackson Hewitt has more than 5,200 franchise and company-owned locations nationwide, including 2,700 in Walmart stores, making it easy and convenient for clients to file their taxes. For more information about products, services, or offers, or to locate a Jackson Hewitt office, visit jacksonhewitt.com or call (800) 234-1040.
SOURCE Jackson Hewitt Tax Service Inc.
