Earned Income Tax Credit (EITC)
The California Earned Income Tax Credit (CalEITC) is now bigger and better!
This cash-back credit is designed to put money in the pockets of low-income working families and individuals. Claiming this credit is easy. Eligible taxpayers just need to file a state tax return.
Many more families are now eligible for the credit.
Starting with the 2017 tax year, families earning up to $22,300 may qualify for CalEITC, which is a dramatic increase of the upper income limit over past years.
Plus, for the first time, those who earned self-employment income in 2017 may qualify.
If you do not owe taxes, CalEITC will provide you with a tax refund when you file your return. If you owe taxes, CalEITC reduces the amount of taxes you might owe and may allow you a refund when you file your taxes.
CalEITC, created by the Governor and Legislature as a supplement to the federal EITC, took effect starting with 2015 tax returns.
CalEITC eligibility requirements vary by tax year. Scroll down to see income requirements for the 2017, 2016, and 2015 tax years.
Free help is also available at free tax return prep sites around the state, beginning in late January and running through Tax Day in April. Find a free tax prep location near you at CalEITC4Me.org.
If you filed your 2015 and 2016 state returns and think you may qualify for CalEITC, you may amend your return. Consider contacting your professional tax preparer, or follow these instructions (2015, 2016) to fill out a Form 540X (2015, 2016) and Form 3514 (2015, 2016) to claim the credit.