Tax Time=EITC

For the working families check out the earned income tax credit. This credit is based on money earned from working and not just any income.

For the 2006 tax year, the maximum credit is $4,536 for a family with two or more children; $2,747 for a family with one child and $412 if the taxpayer does not reside with children.

The maximum amount of earned income allowed is higher for tax year 2006 than it was for 2005. Please see Fact Sheet 2007-13 for all eligibility requirements. Generally, a taxpayer may be able to take the credit for tax year 2006 if the taxpayer:

has more than one qualifying child and earns less than $36,348 ($38,348 if married filing jointly),


has one qualifying child and earns less than $32,001 ($34,001 if married filing jointly), or


does not have a qualifying child and earns less than $12,120 ($14,120 if married filing jointly).
The maximum amount of investment income also increased to $2,800 for tax year 2006.