On National Earned Income Tax Credit Awareness Day, the New York State Department of Taxation and Finance is encouraging taxpayers to review their eligibility for this valuable benefit. When the federal, New York State, and New York City EITCs are combined, they can be worth up to $8,852 for a family with three or more children. Based on federal estimates, as many as 400,000 eligible New Yorkers may fail to claim the credit.
EITCs are refundable federal, New York State, and New York City credits for working taxpayers who earn up to $55,952. The credits can reduce the amount of taxes owed or provide a substantial tax refund. To qualify, taxpayers must meet certain requirements and file a tax return, even if they don’t owe any tax or aren’t required to file.