The Earned Income Credit amounts have increased slightly for the 2017 tax year. The American Recovery and Reinvestment Act (ARRA) provides a temporary increase in EITC and expands the credit for workers with three or more qualifying children.

The maximum amount of earned income and adjusted gross income (AGI) must be less than:

$48,340 ($53,930 if married filing jointly) with three or more qualifying children
$45,007 ($50,597 if married filing jointly) with two qualifying children
$39,617 ($45,207 if married filing jointly) with one qualifying child
$15,010 ($20,600 if married filing jointly) with no qualifying children

The maximum EIC amount for 2017:

$6,318 with three or more qualifying children
$5,616 with two qualifying children
$3,400 with one qualifying child
$510 with no qualifying children

Additional Information

• The maximum amount of investment income you can have and still get the credit is $3,450 for 2017.
• You can elect to have your nontaxable combat pay included in earned income for the earned income credit. The amount of your nontaxable combat pay should be shown on your Form W-2, Box 12, Code Q.

Related Links

• IRS Publication 596 Earned Income Credit
• EITC Income Limits, Maximum Credit Amounts, and Tax Law Updates