The Earned Income Tax Credit (EITC) is a refundable tax credit designed to help low- to moderate-income working families, and it’s a powerful tool in the fight against poverty. The credit reduces the tax burden for eligible families and often results in a refund, which can help struggling families make ends meet, afford necessities, and even build savings.
Many are still unaware of the benefits of the EITC, but it can make a big difference for millions of people every year, including those right here in the Upstate. That’s why we’re asking you to join us on Awareness Day on Friday, January 26, 2024.
To qualify for EITC, a taxpayer must work and have earned income below a certain threshold, based on their filing status and the number of qualifying children they have. The amount of the credit decreases as income rises.
The EITC is known for its anti-poverty effects. It can help working families with expenses such as housing, childcare, transportation, and medical bills. In addition, the refund received through the EITC can be used to create a savings cushion to help them deal with unexpected expenses or emergencies.
Additionally, the EITC has been shown to improve the total well-being of eligible families. The credit has been linked to overall better health, especially among mothers and children. Having more money from the credit can mean access to better food, housing, and healthcare, which can lead to better health outcomes.
The EITC isn’t just about helping families—it also helps the local economy. The EITC generates economic activity and supports jobs. When working families receive the credit, they often spend it immediately, creating demand for goods and services that support local businesses and create jobs.
This awareness campaign is essential to ensure that those who qualify receive the credit. There are a variety of local organizations that offer free tax preparation services to low and moderate-income taxpayers, like our Volunteer Income Tax Assistance program at United Way of the Piedmont. Learn how you may qualify to file for free and get help with your taxes at: www.uwpiedmont.org/freetaxpreparation.
The EITC is a valuable tool for combating poverty, improving health outcomes, and strengthening the local economy. By understanding EITC guidelines and eligibility, we can better support working families and help them access valuable tax credits. Let’s work together to increase EITC awareness and support the hardworking taxpayers in our community.
Phone: 864.582.7556
Toll Free: 1.866.345.3086
Mailing Address:
P.O. Box 5624
Spartanburg, SC 29304