Earned Income Tax Credit

The Earned Income Tax Credit (EITC) is a refundable tax credit from the Internal Revenue Service (IRS) that helps boost the incomes of low-wage, working families. One of the nation’s most effective anti-poverty tools, the federal EITC lifts more than 6.5 million families out of poverty each year. In 2013, more than 354,000 Colorado taxpayers received $772 million in EITC refunds.

Colorado State EITC

For the first time in 15 years, low- to moderate-income workers can claim a Colorado state EITC starting in 2016. Colorado's state EITC will be worth 10 percent of the federal EITC, providing low-wage earners with an even larger refund at tax time. Taxpayers who qualified for the federal EITC will also qualify for the state EITC and can check line 45 of the state return to see if they've received the credit.

How It Works

The EITC helps close the gap between a family’s earnings and what they need to make ends meet. It operates by reducing the amount of taxes owed and increasing the chances of receiving a refund.

Research shows that lifting a struggling family's income helps children do better in school, which leads to increased educational attainment and higher earnings in adulthood. In addition, an increased family income results in improved child wellness because healthy habits--like eating more produce and visiting the dentist--become more affordable.

Who Qualifies?

Depending on their income and number of children, single or married people who worked full-time or part-time at some point in 2015 can qualify for the EITC.

Find out if you qualify for the EITC. 

Family Size Family Income  Maximum Federal EITC  Maximum State EITC 
Three or more children

$47,700 (single)

$53,200 (married)

$6,200 $620
Two children 

$44,400 (single)

$49,900 (married)

$5,500 $550
One child

$39,100 (single)

$44,600 (married)

$3,300 $330 
No children 

$14,800 (single)

$20,300 (married)

$500 $50