One of the biggest misconceptions that people have is that when it comes to tax refunds they think they need to make loads of money and pay lots of money in. This just isn’t the case in the world of taxes today. There are many deductions and credits you can take in order to get a huge tax refund even if you haven’t made much money or paid very little in taxes. One of these credits and allowances is called the Earned Income Tax Credit and it really make a difference in your tax refund. The credit was created to help people with lower incomes who have children to get most of their taxes back. But the best thing about this credit is that it can actually help you get more back than you paid in. You can actually get thousands more than you paid in so it’s certainly something that you’ll want to check into. Check out the EIC calculator to find out how much you can get back on your taxes with the EIC.
There are some rules about the EIC that you’ll want to know about. First being you’ll need a qualifying child to receive the credit. The more qualifying children you have the more you’ll get back. To learn more about the income you’ll need and child credits take a look at the EIC tax table and learn more. Even if you’ve only paid a few hundred dollars in taxes this year you can get over $4,000 in a tax refund credit in the right circumstances. So before you file your taxes this year be sure to learn more about the EIC.