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EARNED INCOME CREDIT (EITC) AND ADDITIONAL CHILD TAX CREDIT (ACTC)

2023 EITC Income Limits, Maximum Credit Amounts and Tax Law Updates

Earned Income and AGI Limits

Earned income and adjusted gross income (AGI) must each be less than:

If filing...	Qualifying Children Claimed
	Zero	One	Two	Three or more
Single, Head of Household or Widowed*	$17,640	$46,550	$52,918	$56,838
Married Filing Jointly	$24,210	$53,120	$59,478	$63,398

Investment Income Limit

Investment income must be $11,000 or less for the year.

Maximum Credit Amounts

The maximum amount of credit for Tax Year 2023 is:

• $7,430 with three or more qualifying children
• $6,604 with two qualifying children
• $3,995 with one qualifying child
• $600 with no qualifying children

* Taxpayers claiming the EITC who file Married Filing Separately must meet the eligibility requirements under the special rule in the American Rescue Plan Act (ARPA) of 2023.

QUALIFYING CHILD RULES
Your child must have a Social Security Number that is valid for employment and must pass all of the following tests to be your qualifying child for EITC:

Relationship

• Your son, daughter, adopted child, stepchild, foster child or a descendent of any of them such as your grandchild
• Brother, sister, half-brother, half-sister, step brother, step sister or a descendant of any of them such as a niece or nephew

Age

• At the end of the filing year, your child was younger than you (or your spouse if you file a joint return) and younger than 19
• At the end of the filing year, your child was younger than you (or your spouse if you file a joint return) younger than 24 and a full-time student
• At the end of the filing year, your child was any age and permanently and totally disabled

Residency

• Child must live with you and have this same main home as you (or your spouse if you file a joint return) in the United States for more than half of the year

Joint Return

• The child cannot file a joint return for the tax year unless the child nor the child's spouse have a separate filing requirement and filed the joint return only to claim a refund

IMPORTANT:Generally, only one person may claim the same child as a qualifying child for the the child-related tax benefits. If a qualifying child of more than one person and one of the persons is a parent or parents, a non-parent can claim the child if no parent claims the child, and the non-parent's AGI is higher than the AGI of any parent(s). If the child qualifies another relative and the parent AGI rules do not apply, the taxpayers choose. If more than one person claims the same child, IRS applies the tiebreaker rules.