Hi! Question! I am filing a 2004 tax return, how can I be eligible for the Earned Income Credit?

Question

What is this in lamens terms and how would one qualify? Thanks!

I have my own bus as sole proprietor, would I be eligible for this if I didn't make much $$?

Answer 1

You may be eligible to claim the Earned Income Credit if:

Your Adjusted Gross Income on Form 1040 Line 36 is less than $11,490 (for Single people) or less than $12,490 (for Married people) and you have no dependents.
Your Adjusted Gross Income on Form 1040 Line 36 is less than $34,458 (for Head of Household) or less than $35,458 (for Married people) and you have qualifying dependents.
You and your spouse (if married) cannot be claimed as a dependent by someone else.
You and your spouse (if married) are between the ages of 25 and 64.

I've attached a link for 2004 for the earned income credit.

Answer 2

You must meet the following EITC requirements:
Must have a valid Social Security Number

You must have earned income from employment or from self-employment.

Your filing status cannot be married, filing separately.

You must be a U.S. citizen or resident alien all year, or a nonresident alien married to a U.S. citizen or resident alien and filing a joint return.

You cannot be a qualifying child of another person.

If you do not have a qualifying child, you must:
be age 25 but under 65 at the end of the year,
live in the United States for more than half the year, and
not qualify as a dependent of another person

Cannot file Form 2555 or 2555-EZ (related to foreign earn income)

Answer 3

In addition to what P J said, there are income limits that must be met $35,458 on a joint return, otherwise 34,458, if you have more than one qualifying child. $31,338 for joint returns, otherwise $30,338 with one qualifying child. $12,490 for joint, otherwise $11,490, with no qualifying children.