tax credits for working families
The Piton Foundation considers tax credits for working families, especially the Earned Income Tax Credit (EITC), to be important tools for increasing the economic self-sufficiency of Colorado's low- to moderate-income earners. One of the nation's most effective anti-poverty programs, the Earned Income Tax Credit lifted more than 6.3 million U.S. families out of poverty in 2010. And, in Colorado in 2011, more than 345,000 taxpayers received $719 million in EITC refunds.
WHAT IS THE EITC?
A refundable tax credit from the Internal Revenue Service (IRS), the Earned Income Tax Credit eases the tax burden on low-wage workers and helps supplement their incomes. The EITC targets families with incomes that range below the poverty level to roughly double the poverty level, and it could be worth as much as $6,000 or more. Learn more about the EITC.
ADDITIONAL TAX CREDITS FOR WORKING FAMILIES
Families that claim the Earned Income Tax Credits may also be eligible for additional tax credits for working families, including the Child Tax Credit, Child and Dependent Care Tax Credit, American Opportunity Credit, Lifetime Learning Credit, Saver's Tax Credit, Colorado Property Tax/Rent/Heat Credit (PTC) Rebate, and Colorado Child Care Tax Credit.
Piton's tax credit initiatives
To increase awareness about the Earned Income Tax Credit and ensure that all eligible families claim the credits they are due, The Piton Foundation has been conducting one of the largest EITC outreach campaigns in the country for the past 25 years.
Tax Help Colorado's Free Tax Preparation Sites
A partnership between The Piton Foundation and the Colorado Community College System that was launched in 2007 to help alleviate the cost of commercial tax preparation for low-income workers, Tax Help Colorado offers free tax preparation services at locations across the state to individuals who make less than $50,000 a year. Click here to find a free tax site near you.
Employers: Ensure your workers claim the tax credits they deserve.
Nonprofits: Inform your clients of their potential eligibility for tax credits.
Spread the Word: 2013 materials will be available for download in the coming months.