Important Information About the Earned Income Tax Credit 

The Earned Income Tax Credit (EITC) is a vital part of our nation’s tax picture.  There has been so much abuse and fraud in regard to this tax program, the IRS now requires tax professionals to review documents that confirms a taxpayer’s right to the EITC. (also, the CTC and AOTC)

When you meet with your tax professional or mail your tax organizer to them this year, you will be asked many probing questions.  Please remember that your tax professional is only practicing their due diligence required of them and face stiff penalties if they do not ask.  If the child is a grandchild or a niece/nephew, they will ask questions about the parents of the child.

Please provide documents that confirm that the child is your qualified child, confirms the child’s age and proves that the child lived in your home with you for at least six months of the tax year.  If the child is over 18, provide documentation that confirms the child is either a full-time student or disabled

You will be required to present:

  • The child’s social security card
  • Documentation proving the child’s age
  • Documentation to prove residency (one or more of the following):
  • School records or statement (NOTa report card)
  • Landlord or property management statement
  • Health care provider statements
  • Medical records
  • Child care provider statements
  • Placement agency statements
  • Social service statements
  • Place of worship statements
  • Indian Tribal Official Statements

The “statements” must include your name and state the child lived at your address during 2017, and include the actual street address.  The statement must be on the organization’s letterhead.  Many schools are already prepared to issue these statement to the appropriate adults.

To learn more about the EITC go to the irs.gov website and type EITC in the search box for a wealth of information on the topic.