While the earned income tax credit afforded many more Americans bigger tax breaks this year, some may not know that some states offer it too.
What you can claim depends on your income and number of children or dependents.
States credits are usually worth a percentage of the federal earned income tax credit.
The EITC is one of the biggest tax credits the IRS offers and has been around since 1975.
IRS: Who got the $6,728 earned income tax credit and can see it in their refund?
In 2020, 25 million families saw $60 billion dollars collectively.
Before 2021 the maximum amount someone could receive was $538, and in 2021 it was increased to $1,502.
Younger and older people as well as people without children were made eligible.
Before, it was only available to 24-64-year-olds. Now it’s 19 and up.
IRS: Can tax refunds be deposited on a Sunday?
The following states offer an earned income tax credit up to a certain percentage
Keep in mind, not all states offer it as refundable.
Delaware, Hawaii, Ohio, South Carolina, and Virginia do not offer the credit as refundable.
- California: 45%, refundable
- Colorado: 10%, refundable
- Connecticut: 23%, refundable
- Delaware: 20%, nonrefundable
- District of Columbia: 40%, refundable
- Hawaii: 20%, nonrefundable
- Illinois: 18%, refundable
- Indiana: 10%, refundable
- Iowa: 15%, refundable
- Kansas: 17%, refundable
- Louisiana: 5%, refundable
- Maine: 12%, refundable
IRS: Are refunds bigger this year because of credit expansions ?
- Maryland: Between 45% and 100%, refundable
- Massachusetts: 30%, refundable
- Michigan: 6%, refundable
- Minnesota: From 25% to 45%, refundable
- Montana: 3%, refundable
- Nebraska: 10%, refundable
- New Jersey: 40%, refundable
- New Mexico: 10%, refundable
- Oklahoma: 5%, refundable
- New York City: 5%, refundable
- Ohio: 30%, nonrefundable
- New York: 30%, refundable
- Oregon: 9% (12% if qualifying child under age three), refundable
- Rhode Island: 15%, refundable
- South Carolina: 83.33%, nonrefundable
- Vermont: 36%, refundable
- Virginia: 20%, nonrefundable
- Wisconsin: One child – 4%; two children – 11 %, three children – 34%, refundable
States that added or expanded their earned income tax credit
- District of Columbia
- New Jersey
- New Mexico
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