- Days left

IRS to Offer Earned Income Tax Credit Assistance This Weekend

Get IRS assistance with claiming the EITC, and you could see your tax refund grow this year.The Earned Income Tax Credit (EITC) is one of the federal government's largest benefit programs for working families and individuals. Unfortunately, unlike other benefit programs, the EITC is not automatic. In order to get the credit, taxpayers must file a tax return and specifically claim the credit.

The credit can be confusing for many taxpayers, which is why the IRS has announced that special assistance is available to EITC-eligible taxpayers. The announcement coincided with the fifth Earned Income Tax Credit Awareness Day on Friday, Jan. 28.

On Saturday, Jan. 29, and Saturday, Feb. 5, the IRS will open selected offices to provide special assistance to EITC-eligible taxpayers. You can find an office in your state by clicking here.

Why go? The IRS estimates that one out of five eligible taxpayers may be missing the credit. Last year, more than 26 million eligible taxpayers received nearly $59 billion from the credit. The maximum credit for 2010 tax returns is $5,666 for those with three or more qualifying children; lesser amounts are available for those with fewer or no qualifying children.If you believe that you might be eligible for the credit, you can use the IRS EITC Assistant, available on the IRS website in English and in Spanish. You should check to see if you're eligible if you made $48,362 or less from wages, self-employment or farm income. If you believe that you qualify and need assistance claiming the credit on your return, you can attend one of the special EITC assistance days or find a taxpayer assistance center near you. When you show up for your appointment, you'll need to bring:

  • Photo identification
  • Valid Social Security cards for the taxpayer, spouse and dependents
  • Birth dates for primary, secondary and dependents on the tax return
  • Wage and earning statement(s) Form W-2, W-2G, 1099-R, from all employers
  • Interest and dividend statements from banks (Forms 1099)
  • A copy of last year's federal and state returns, if available
  • Bank routing numbers and account numbers for direct deposit
  • Other relevant information about income and expenses
  • Total paid for day care
  • Day care provider's identifying number
If you're one of the nearly 6 million taxpayers who missed out on the chance to claim the credit last year, don't make the same mistake twice. The IRS -- and many nonprofit partners -- wants to help you claim the credit and put extra money in your pocket in 2011.

Increase your money and finance knowledge from home

How Financial Planners go Grocery Shopping

Learn to shop smart and save.

View Course »

Building Credit from Scratch

Start building credit...now.

View Course »

TurboTax Articles

Infamous Tax Crimes

Although most Americans fill out their tax returns diligently and honestly, not all taxpayers are as respectful of the law. Some wealthy taxpayers cheat because they feel they already pay more than their fair share of taxes, while some regard the entire tax system as unconstitutional. Regardless of the reason, it's big news when the rich and famous are convicted of tax crimes. You're likely to know at least one or more of the famous names on this list of notorious tax cheats.

Cities with the Lowest Tax Rates

The total amount of tax you pay reaches far beyond what you owe the federal government. Depending on where you live, most likely you're required to pay additional taxes, including property and sales tax. The disparity between the amount of tax you pay in a low-tax city and that in a high-tax city can be dramatic. Living in any of these 10 cities could save you a bundle, although the exact amount may fluctuate based on your income and lifestyle choices.

Cities with the Highest Tax Rates

Much ado is made in the press about federal tax brackets, but cities can carry a tax bite of their own. Even if you live in a state that has no income tax, your city may levy a variety of taxes that could eat away the entire benefit of living in an income tax-free state, including property taxes, sales taxes and auto taxes. Consider all the costs before you move to one of these cities, and understand that rates may change based on your family's income level.

Great Ways to Get Charitable Tax Deductions

Generally, when you give money to a charity, you can use the amount of that donation as a deduction on your tax return. However, not all charities qualify as tax-deductible organizations. While there are many types of charities, they must all meet certain criteria to be classified by the IRS as tax-deductible organizations. There are legitimate tax-deductible organizations in many popular categories, such as those listed below.

A Freelancer's Guide to Taxes

Freelancing certainly has its benefits, but it can result in a few complications come tax time. The Internal Revenue Service considers freelancers to be self-employed, so if you earn income as a freelancer you must file your taxes as a business owner. While you can take additional deductions if you are self-employed, you'll also face additional taxes in the form of the self-employment tax. Here are things to consider as a freelancer when filing your taxes.

Add a Comment

*0 / 3000 Character Maximum