IRS Releases 2012 EITC Amounts and Forms

Jan 17, 2012

The Internal Revenue Service (IRS) has released updated 2012 Earned Income Tax Credit (EITC) amounts, an updated Notice of Withholding, and a new Notice 797.

Individuals will now qualify for EITC on their 2011 tax return if they:

►earned under $43,998 and have three or more qualifying children ($49,078 if married filing jointly);

►earned under $40,964 and have two qualifying children ($46,044 if married filing jointly);

►earned under $36,052 and have one qualifying child ($41,132 if married filing jointly); and

►earned under $13,660 and have no qualifying children ($18,740 if married and filing jointly).

The qualifying child tests for EITC have also been revised. There are now four tests a child must meet in order to be considered a qualifying child under EITC: Relationship, Age, Joint Return, and Residency. Under Joint Return, the child must have not filed a joint return for 2011 or filed a joint return only to claim a refund.

The Research Department has updated the side panels in English and Spanish for the All-On-One State and Federal Labor Law Posters, and they are now available. Customers on a subscription service plan will receive their updated IRS Notice in early February. Others should call Customer Service at (800) 333-395 to inquire about obtaining one.