Earned Income Tax Credit Q&A

Preparers who are paid to complete returns claiming the Earned Income Tax Credit (EITC), the Child Tax Credit (CTC) refundable portion, the Additional Child Tax Credit (ACTC), Credit for Other Dependents (ODC), American Opportunity Tax Credit (AOTC) and Head of Household (HOH) filing status must meet due diligence requirements. IRS has compiled a list of answers to questions your clients frequently ask about refundable credits and EITC, including:

  • IRS denied my EITC last year, but I qualify this year, what should I do?
  • Who is a qualifying child?
  • Who is an eligible foster child?
  • What is earned income?
  • How do I figure my credit?
  • What if I am prohibited from claiming the EITC for a period of years?
Get answers to these questions here.