Get 2001 Form 8861 (rev. May 2002). Welfare-to-work Credit

For 2023, the maximum earned income credit amounts are $600, $3,995, $6,604, and $7,430, depending on your filing status and how many children you have. The earned income tax credit for the 2023 tax year is claimed on tax returns filed by April 15, 2024.

But keep in mind that the maximum refund you can get for the 2023 tax year is capped at $1,600 per qualifying dependent. If you have three or more dependent children, the math can be more complex.

You may be eligible for a California Earned Income Tax Credit (CalEITC) up to $3,529 for tax year 2023 as a working family or individual earning up to $30,950 per year. You must claim the credit on the 2023 FTB 3514 form, California Earned Income Tax Credit, or if you e-file follow your software's instructions.

If you invest in renewable energy for your home (solar, wind, geothermal, fuel cells or battery storage technology), you may qualify for an annual residential clean energy tax credit of 30% of the costs for qualified, newly installed property from 2022 through 2032.

A tax credit is a dollar-for-dollar amount taxpayers claim on their tax return to reduce the income tax they owe. Eligible taxpayers can use them to reduce their tax bill and potentially increase their refund.

Earned income tax credit This earned income tax credit (EITC) is a refundable tax break for low-income taxpayers with and without children. For 2023 (taxes filed in 2024), the credit ranges from $600 to $7,430, depending on how many kids you have, your marital status and how much you made.

Use Form 8861 to claim the welfare-to-work credit for wages you paid or incurred to long-term family assistance recipients during the tax year. Only wages paid or incurred to individuals who began working for you before January 1, 2002, can be used to figure the credit.