The short answer
The earned income tax credit (EITC) is a federal credit for people who work and have low to moderate income. It is refundable, so it can give you a refund even if you owe no tax. For 2025, the maximum credit ranges from $649 with no qualifying child to $8,046 with three or more; for 2026, from $664 to $8,231. You need earned income, a valid SSN, investment income under the limit, and income under the phase-out limit for your family size.
Who can claim it: rules for everyone
Publication 596 (2025) lists rules that every claimant must meet:
- Valid SSN: you (and your spouse on a joint return) must have an SSN valid for employment, issued by the return due date including extensions. An ITIN does not qualify.
- Filing status: married people generally must file jointly, unless the special rule for separated spouses applies.
- Citizen or resident all year: if you were a nonresident alien for any part of the year, you can claim it only on a joint return with a U.S. citizen or resident spouse, after choosing to be treated as a U.S. resident.
- No Form 2555: you cannot claim it if you exclude foreign earned income or a foreign housing amount.
- Investment income limit: no more than $11,950 for 2025 or $12,200 for 2026.
- Earned income: you must have it, and your AGI and earned income must be below the limits below.
What counts as earned income
| Counts as earned income | Does not count |
|---|---|
| Taxable wages, salaries, and tips | Interest, dividends, and capital gains |
| Net earnings from self-employment | Social Security and pensions |
| Gross income as a statutory employee | Unemployment compensation and child support |
| Household employee wages and unreported tips | Nontaxable pay such as certain dependent care benefits |
Nontaxable combat pay is an exception: you can choose to include it. Investment income does not help you qualify and, above the limit, disqualifies you.
2025 and 2026 amounts
| 2025 | No qualifying child | 1 child | 2 children | 3 or more |
|---|---|---|---|---|
| Maximum credit | $649 | $4,328 | $7,152 | $8,046 |
| Earned income needed for the maximum | $8,490 | $12,730 | $17,880 | $17,880 |
| Phase-out begins (married filing jointly) | $17,730 | $30,470 | $30,470 | $30,470 |
| No credit at or above (married filing jointly) | $26,214 | $57,554 | $64,430 | $68,675 |
| Phase-out begins (all other filers) | $10,620 | $23,350 | $23,350 | $23,350 |
| No credit at or above (all other filers) | $19,104 | $50,434 | $57,310 | $61,555 |
| 2026 | No qualifying child | 1 child | 2 children | 3 or more |
|---|---|---|---|---|
| Maximum credit | $664 | $4,427 | $7,316 | $8,231 |
| Earned income needed for the maximum | $8,680 | $13,020 | $18,290 | $18,290 |
| Phase-out begins (married filing jointly) | $18,140 | $31,160 | $31,160 | $31,160 |
| No credit at or above (married filing jointly) | $26,820 | $58,863 | $65,899 | $70,244 |
| Phase-out begins (all other filers) | $10,860 | $23,890 | $23,890 | $23,890 |
| No credit at or above (all other filers) | $19,540 | $51,593 | $58,629 | $62,974 |
These amounts come from Rev. Proc. 2024-40 and Rev. Proc. 2025-32. The phase-out is measured by your AGI or, if greater, your earned income. The "all other filers" column also applies to married people who file separately under the separated-spouse rule. Your exact credit comes from the EIC Table in the Form 1040 instructions.
Qualifying children
A qualifying child must meet four tests:
- Relationship: your son, daughter, stepchild, foster child, or a descendant of any of them; or your brother, sister, half-sibling, step-sibling, or a descendant of any of them.
- Age: under 19 at year end and younger than you (or your spouse if filing jointly); under 24 if a full-time student and younger than you; or any age if permanently and totally disabled.
- Residency: lived with you in the United States for more than half the year.
- Joint return: the child generally cannot file a joint return for the year.
The child also needs a valid SSN by the return due date for you to claim the larger credit. Only one person can claim a given child; the tie-breaker rules in Publication 596 decide who.
Workers without a qualifying child
- Age: for 2025, at least 25 but under 65 at year end (on a joint return, either spouse can meet this test).
- Not a dependent and not a qualifying child of another person.
- U.S. home: your main home was in the United States for more than half the year.
Examples (illustrative, 2025)
| Rosa | Dan | Lee family | |
|---|---|---|---|
| Filing status | Head of household | Single | Married filing jointly |
| Qualifying children | 2 | None (age 30) | 1 |
| Earned income and AGI | $20,000 | $9,000 | $60,000 |
| Investment income | $0 | $0 | $300 |
| Where the income falls | Above $17,880 and below the $23,350 phase-out start | Above $8,490 and below the $10,620 phase-out start | Above the $57,554 limit |
| 2025 EITC | $7,152 (the maximum) | $649 (the maximum) | None |
If Rosa also had $12,000 of interest income, she would get no EITC for 2025, because her investment income would exceed $11,950 — that test alone rules her out, even before the interest raises her AGI to $32,000. The examples assume all earned income is wages, everyone has a valid SSN, Dan is not anyone's dependent and lived in the United States all year, each child meets all four qualifying-child tests, and all other rules are met.
Schedule EIC and filing
- Schedule EIC: attach it to Form 1040 if you have a child who meets the qualifying-child conditions, even if that child does not have a valid SSN.
- No SSN yet: if you do not have a valid SSN by the due date (including extensions), you cannot claim the EITC on the original or an amended return for that year. Publication 596 notes that a Form 4868 extension can give you more time to get one.
- Refund timing: refunds on returns claiming the EITC cannot be issued before mid-February.
- Earlier denial: if your EITC was denied or reduced in an earlier year for reasons other than a math or clerical error, you may need to file Form 8862 before claiming it again.
2026 notes
The 2026 dollar amounts above are final (Rev. Proc. 2025-32). The other rules in this guide are from Publication 596 for 2025; check the 2026 edition when it is published.
Common mistakes
- Not filing because income is below the filing threshold — you must file to get the credit.
- Claiming a child who did not live with you in the United States for more than half the year.
- Two people claiming the same child.
- Leaving out investment income such as interest, dividends, or capital gains.
- Filing separately while living together — that generally rules out the credit.
- Claiming with an ITIN or with an SSN not valid for work.
Self-employment income, children claimed by more than one relative, recertification after a denial, and the rules for clergy, military, and disability income can be complex. State earned income credits are not covered.