Tax Credits – Claim Your Cash!
Did you know that you may be eligible for federal AND CA state tax credits (when you file your tax return) that can give you money back and boost your income?
Many taxpayers who don’t have a filing requirement or are not aware of these tax credits leave money on the table and hundreds of millions of dollars go unclaimed each year!
The only way to claim tax credits (like the federal EITC, federal CTC, CalEITC, CA YCTC, and the FYTC) is to FILE YOUR TAXES!
The federal Earned Income Tax Credit (EITC) is considered one of our nation’s largest anti-poverty programs! If the EITC amount is more than what you owe in taxes, you get the money back in your tax refund. If you qualify for the credit, you can still receive a refund even if you do not owe income tax. Individuals aged 25-64 who worked in 2024 could get up to $632 from the IRS. Working families with children could get as much as $7,830! Eligible filers could make up to $25,511 without kids or $66,819 with kids in 2024 and qualify for the federal EITC. You, your spouse, and any child you claim must have a valid Social Security number (SSN) to receive the federal EITC.
The federal Child Tax Credit (CTC) is available for families that worked in 2024 and earned more than $2,500. The CTC offers up to $2,000 per qualified child. Children must be 16 years old or younger and have an SSN to be claimed for the CTC. You and your spouse must have an SSN or Individual Taxpayer Identification Number (ITIN).
The state also has refundable / cash-back credits like the CA Earned Income Tax Credit (CalEITC), the CA Young Child Tax Credit (YCTC), and the Foster Youth Tax Credit (FYTC).
Use the CA Franchise Tax Board’s EITC calculator OR review the 2024 CalEITC credit table below to calculate how much you may get when you file your tax year 2024 return!
| Number of qualifying children | CalEITC, YCTC, FYTC max income | CalEITC max credit | YCTC max credit | FYTC max credit* | Federal EITC max credit** |
|---|---|---|---|---|---|
| None | $31,950 | $294 | $0 | $1,154 | $632 |
| 1 | $31,950 | $1,958 | $1,154 | $1,154 | $4,213 |
| 2 | $31,950 | $3,239 | $1,154 | $1,154 | $6,960 |
| 3 or more | $31,950 | $3,644 | $1,154 | $1,154 | $7,830 |
(Reference: https://www.ftb.ca.gov/about-ftb/newsroom/caleitc/eligibility-and-credit-information.html)
*FYTC, unlike the other credits above, is awarded per qualifying taxpayer. The credit would be up to $2,308 if both primary taxpayer and spouse/RDP qualify
**For information on the maximum income allowed to qualify for the federal EITC based on filing status and number of children or relatives claimed, visit the IRS’s EITC tables webpage.
All of these tax credits are not a loan. File your taxes by April 15, 2025, to see if you qualify for these income boosts!
SPECIAL NOTE: Because of the pandemic, Congress expanded the EITC and CTC making the credits available to more families. That expansion has since ended, BUT here’s the good news – if you were eligible for the 2021 expanded EITC, the 2021 expanded CTC, or the third stimulus check and didn’t claim them, it’s not too late! You can file prior year taxes up to 3 years past the original due date – for 2021, this would be April 18, 2025. These credits could help cover the costs of housing, food, health care, education, and more!
To get help with filing, you can uwba.org/tax-help to find a free filing option that works for you OR call 2-1-1 to find a local Volunteer Income Tax Assistance (VITA) site locally that provides free tax help from IRS-certified volunteers.
