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in the United States the federal government taxes workers on their income and keeps a percentage of your earnings to pay for public services if you don't make much money especially if you have children this can add up fortunately the Earned Income Tax Credit EITC provides relief for some workers at tax time if you qualify the Tax Credit lowers the amount of taxes you are required to pay it is refundable which means that if the credit is worth more than you owe you get the rest of the money back in your tax refund for example let's look at Alicia and her child Joe Alicia is a single mother raising her nine-year-old child Joe she earns $30,000 a year and owes 258 dollars in taxes she qualifies for about one thousand four hundred eighty two dollars in EITC which is one thousand two hundred twenty four dollars more than the amount of taxes she owes Alicia will get this extra refundable portion back in her tax refund Music there are three main eligibility requirements to claim the EITC the

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