Earned income tax credit rate 2020
The Top 4 IRS Income Tax Credits for 2020. With the tax filing season quickly approaching, the Internal Revenue Service recommends taxpayers take time now to determine if they are eligible for Read on to find out how this valuable tax credit works, and whether you can benefit from it too. Quick Tip: TurboTax can help you find the most tax credits with ease. Understanding Earned Income Tax Credit. The U.S. federal income tax system is progressive, meaning the more money you make, the higher your tax rate. The tax year 2020 maximum Earned Income Credit amount is $6,660 for qualifying taxpayers who have three or more qualifying children, up from a total of $6,557 for tax year 2019. The revenue procedure contains a table providing maximum credit amounts for other categories, income thresholds and phase-outs.