CAAB

Investing in People, Strengthening Communities

What Is The DC EITC And How Can You Benefit From It?

The DC Earned Income Tax Credit (DC EITC) is a special tax break, based on the federal EITC, designed specifically for low- and moderate-income workers. People who qualify for the DC EITC will pay less in taxes or even get cash back.

What Is The DC EITC And How Can You Benefit From It?

The DC Earned Income Tax Credit (DC EITC) is a special tax break, based on the federal EITC, designed specifically for low- and moderate-income workers. People who qualify for the DC EITC will pay less in taxes or even get cash back. 

Who is eligible for the DC EITC?

  • Those District taxpayers who are allowed the Earned Income Tax Credit in filing their federal individual income tax return and did not claim the District Low Income Tax Credit.
  • District taxpayers who do not qualify for the Earned Income Tax Credit for federal tax purposes can claim the credit on their District return if the taxpayer is:
  1. A District resident, and
  2. Between the ages of 18 and 30, and
  3. A parent of a minor child who does not live with the taxpayer, and
  4. A court has ordered the taxpayer to make child care support payments, and
  5. The court order is in effect for ½ of the year during the year that the taxpayer is claiming the credit, and
  6. The taxpayer paid child care support in the tax year claiming the credit equal to the amount of the child care support due during the year.

Taxpayers Without A Qualifying Child

Taxpayers without a qualifying child must use the DC Earned Income Tax Credit (EITC) Worksheet for Filers Without a Qualifying Child on page 12 to determine the DC EITC. You may need information from the federal instruction booklet concerning the Earned Income Credit to determine your eligibility for the DC Earned Income Tax Credit. If you do not have a qualifying child for the EITC and did not qualify for the federal credit due to your income, you may still qualify for the DC EITC.

What is the amount of the DC EITC?

  • District taxpayers who are allowed the Earned Income Tax Credit in filing their federal individual income tax return and did not claim the District Low Income Tax Credit are allowed a DC EITC equal to 40 percent of the amount allowed by the Internal Revenue Service.
  • District taxpayers who are parents of a minor child, are required to pay child support and who otherwise qualify are allowed a DC EITC equal to 40 percent of the amount that would have been allowed by the Internal Revenue Service.

In addition to the DC EITC, some working families with children can benefit from the federal Child Tax Credit. The District government wants all eligible city residents to claim these valuable tax credits.

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.

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How to give

Now, more than ever, non-profits like Capital Area Asset Builders (CAAB) need your help. Please support CAAB as we continue to help DC residents manage and/or improve their financial situation during these difficult times. If you can't afford to give a monetary gift, please visit our Amazon Wish List where you can choose from a variety of items that CAAB needs in order to better serve our community.

or send a check or money order to
Capital Area Asset Builders (CAAB)
c/o Joseph Leitmann-Santa Cruz, CEO & Executive Director
1100 H Street NW, Suite 200
Washington, DC 20005