Monday, November 5, 2012

Earned income credit (EIC)

You may be able to take the EIC in 2012 if:
  • Three or more children lived with you and you earned less than $45,060 ($50,270 if married filing jointly),
  • Two children lived with you and you earned less than $41,592 ($47,162 if married filing jointly),
  • One child lived with you and you earned less than $36,920 ($42,130 if married filing jointly), or
  • A child did not live with you and you earned less than $13,980 ($19,190 if married filing jointly).
Also, the maximum AGI you can have and still get the credit has increased. You may be able to take the credit if your AGI is less than the amount in the above list that applies to you. The maximum investment income you can have and get the credit has increased to $3,200. 

IRS Circular 230 Disclosure

Pursuant to the requirements of the Internal Revenue Service Circular 230, we inform you that, to the extent any advice relating to a Federal tax issue is contained in this communication, including in any attachments, it was not written or intended to be used, and cannot be used, for the purpose of (a) avoiding any tax related penalties that may be imposed on you or any other person under the Internal Revenue Code, or (b) promoting, marketing or recommending to another person any transaction or matter addressed in this communication.
 

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