Know the Tax Credits that Can Mean a Refund for You in 2019!
Taxpayers who are not required to file a tax return may want to do so. They might be eligible for a tax refund and don’t even know it. Some taxpayers might qualify for a tax credit that can result in money in their pocket. Taxpayers need to file a 2018 federal tax return to claim these credits.
Here is information about three tax credits that can mean a refund for eligible taxpayers:
- Earned Income Tax Credit. A taxpayer who worked and earned less than $54,884 last year could receive the EITC as a tax refund. They must qualify for the credit, and may do so with or without a qualifying child. They may be eligible for up to $6,431. Taxpayers can use the EITC Assistant tool to find out if they qualify.
- Additional Child Tax Credit. If a taxpayer has at least one child that qualifies for the Child Tax Credit, they might be eligible for the ACTC. This credit is for certain individuals who get less than the full amount of the child tax credit.
- American Opportunity Tax Credit. To claim the AOTC, the taxpayer, their spouse or their dependent must have been a student who was enrolled at least half time for one academic period. The credit is available for four years of post-secondary education. It can be worth up to $2,500 per eligible student. Even if the taxpayer doesn’t owe any taxes, they may still qualify. They are required to have Form 1098-T, Tuition Statement, to be eligible for an education benefit. Students receive this form from the school they attended. There are exceptions for some students. Taxpayers should complete Form 8863, Education Credits, and file it with their tax return.
About the DC EITC Campaign
The CAAB-managed DC EITC Campaign, is a citywide, cross-sector initiative that provides access to information on the EITC and connects Washingtonians with free tax preparation services throughout the District.
The DC EITC Campaign is made possible through the support from the DC Department of Insurance, Securities and Banking (DISB), Washington Gas, Citi Community Development, United Way of the National Capital Area as well as other key private sector partners.
DC EITC Campaign Partners
Community Tax Aid
www.communitytaxaiddc.org/
Community Tax Aid (CTA) was founded in 1987 with a mission to provide high-quality free income tax services to low-income taxpayers in the Washington, DC metropolitan area. CTA's primary goal is to promote economic stability through accurate and timely filing of tax returns and secondarily to connect taxpayers to other asset building opportunities. Our services are critical to the financial well-being of low-income families and their ability to build wealth. The tax return is required in order to obtain tax refunds and key credits, such as the Earned Income Tax Credit (EITC), and other asset-building opportunities, such as qualifying for academic financial aid/or obtaining a mortgage or a small business loan. Annually, we help over 6,000 low-income taxpayers overcome barriers created by the cost and complexity of tax compliance so they can build their financial futures.
About Capital Area Asset Builders
Capital Area Asset Builders (CAAB) is a non-profit organization whose mission is to empower low- and moderate-income residents of the Greater DC Area to take control of their finances, increase their savings, and build wealth for a better future.
Connect with CAAB via our social media platforms:
- Twitter: @CAAB_GreaterDC
- Facebook: https://www.facebook.com/CapitalAreaAssetBuilders
- LinkedIn: https://www.linkedin.com/company/capital-area-asset-builders
