Earned Income and EIC Qualifications

IRS Links: 

How to Claim the Earned Income Tax Credit (EITC) 

About Publication 596, Earned Income Credit

Taxable Earned Income Perimeters

In reference to Taxable Earned Income, the following lists the inclusive categories:

1. Wages, salaries, tips, and other taxable employee pay
2. Union strike benefits
3. Long-term disability benefits received prior to minimum retirement age
4. Net earnings from self-employment if: 
a. You own or operate a business or a farm 
b. You are a minister or member of a religious order (see Special Rules page for more information) 
c. You are a statutory employee and have income. (See definition of statutory employee on our Helpful Definitions and Acronyms for EITC page).
5. Nontaxable Combat Pay election
You can elect to have your nontaxable combat pay included in earned income for EITC. The amount of your nontaxable combat pay should be shown on your Form W-2, in Box 12, with Code Q. Electing to include nontaxable combat pay in earned income may increase or decrease your EITC. 

 

EIC Qualifications

Who Qualifies for the Earned Income Tax Credit (EITC)

Earned Income and AGI Limits

Earned Income and Earned Income Tax Credit (EITC) Tables

Investment Income Limit
Investment Income must be $3,400 or less for the tax year.

Additional IRS publication:

Qualifying Child Rules