Friday, November 6, 2009

Why cant people under 25 get a Earned Income Tax Credit (EITC)?

Do young people just not need tax relief? I'm 19 and last year i made $3,600 and i have to pay $530 in taxes on it. Its just silly that i should not be able to claim a tax credit designed to help low income people pay their taxes.

Why cant people under 25 get a Earned Income Tax Credit (EITC)?
Usually, when you are 25, you are still considered a dependent of your parents because you are in school and the such. (They can claim you until you are 24 if you are in school)





There is good news though, under certain circumstances, if you have a qualifying child you can claim EITC and be under 25.
Reply:The only way you would owe $530 would be if you were self-employed you do not actually owe federal income tax but social security and medicare.





You do not owe any federal income tax on the earnings of $3,600 if you have an employer. And if you did not have any federal income tax withheld then you do not even have to file taxes.





As you read the other entries it will show why EITC was placed in the tax system
Reply:stop claiming yourself on w2 with employer, claim 0 myself then at end of year i claim 1 i always get money back, get greedy durring the year and you SHOULD expect to pay at the end of year so no i dont see that you should get that credit
Reply:The EITC was originally designed to help low-income families with young children. It was recently opened up to provide a SMALL credit for adults over 25.





Like everything that the IRS does, it's based in law as passed by Congress. If you don't like the law, complain to your representatives in Congress.
Reply:my concern is you only earned 3600.00 and you had a tax liability of 530.00 it sound to me as if you did not take your standard deduction in which you are entitled standard deduction for 2006 =5150.00


No comments:

Post a Comment

 


tax credit © 2008. Design by: Pocket Web Hosting