Earned Income Tax Credit: The Basics for the 2025 Return
Published November 4, 2026
The earned income tax credit (EITC) is for workers with low or moderate income. It can reduce the tax you owe and may increase your refund. This guide covers the credit for the 2025 tax year, which you file in 2026. IRS: Earned Income Tax Credit (EITC)
Basic rules
To claim the EITC, you generally must:
- have a valid Social Security number issued on or before the due date of your return, including extensions. This applies to you, to your spouse if you file jointly, and to each child you claim;
- be a U.S. citizen or resident alien all year;
- have earned income, such as wages or net earnings from self-employment;
- use an eligible filing status: single, head of household, married filing jointly, qualifying surviving spouse, or married filing separately.
If you have no qualifying children, you also must have lived in the United States for more than half the year. You cannot be claimed as a qualifying child or as a dependent of another person. Military members and clergy have special rules. IRS: Who Qualifies for the EITC
Earned income generally includes wages, salaries, and tips reported in Box 1 of Form W-2, tips you did not report to your employer, and household employee wages. Include the full amount of tips and overtime, even if part of it is deductible. IRS: Earned income and EITC tables
How children change the amount
The number of qualifying children you claim is a major factor in the size of the credit. For tax year 2025, the IRS lists these maximum credit amounts:
- No qualifying children: $649
- One qualifying child: $4,328
- Two qualifying children: $7,152
- Three or more qualifying children: $8,046
Your actual credit depends on your earned income, your income, your filing status, and the number of qualifying children. The IRS tables show the limits for each group. IRS: Earned income and EITC tables
The investment income limit
For 2025, your investment income must be $11,950 or less. Taxable interest, dividends, and certain other investment income count toward this limit. If your investment income is higher, you cannot take the credit. IRS: EITC tables
If you are self-employed
Self-employed people can claim the EITC. If your net earnings from self-employment are $400 or more, you must file Schedule SE and pay self-employment tax. If you do not, you may not get all the credit you are entitled to. IRS: Publication 596
Children and Schedule EIC
A child counts only if the child meets the IRS qualifying child rules. If you claim a qualifying child, you complete Schedule EIC and attach it to your return. For more on the child rules, read our post on qualifying child and qualifying relative. IRS: Publication 596
When your refund may arrive
By law, the IRS cannot issue refunds to taxpayers who claim the EITC before mid-February. This applies to the whole refund, not only the EITC part. Check Where's My Refund in late February. IRS: EITC
If the IRS questions your claim
If you get a letter about the EITC, read it and send the documents it asks for. If the IRS denied the credit for an earlier year, you may need Form 8862 with your return to claim it again. IRS: Publication 596
Checklist
- Confirm each Social Security number was issued on or before your return's due date.
- Add up your earned income, including wages and net self-employment earnings.
- Check your investment income against the $11,950 limit.
- Find the maximum for your number of qualifying children.
- Attach Schedule EIC if you claim a qualifying child.
General information, not advice for your return.
Sources: IRS: Earned Income Tax Credit (EITC) (https://www.irs.gov/credits-deductions/individuals/earned-income-tax-credit-eitc); IRS: Who Qualifies for the EITC (https://www.irs.gov/credits-deductions/individuals/earned-income-tax-credit/who-qualifies-for-the-earned-income-tax-credit-eitc); IRS: Earned income and EITC tables, tax year 2025 (https://www.irs.gov/credits-deductions/individuals/earned-income-tax-credit/earned-income-and-earned-income-tax-credit-eitc-tables); IRS: Publication 596, Earned Income Credit (https://www.irs.gov/publications/p596) This is general information, not advice about your specific return.
