The Earned Income Tax Credit (EITC) is one credit offered by the government to working families with low-incomes, in an effort to keep them above the poverty line. The credit also helps to encourage families to continue to work, despite low earnings. The EITC can be a relief at tax time, and for Louisiana residents, even more so. The state offers their own version of the credit, based off the federal EITC, which means Louisiana taxpayers who were eligible for the federal credit are also eligible to receive the state credit.<\/p>\n
Louisiana\u2019s EITC is offered to working families at 3.5% of the federal credit, and is fully refundable. Any portion of the credit which exceeds the taxpayer\u2019s income tax liability will be returned to them via a refund. That helps put more money where it belongs: in the hands of the earner. In doing so, the state keeps more families out of poverty, and the EITC can help offset larger state and local taxes as well. A family with zero income tax liability can receive the entire amount of the EITC as a credit.<\/p>\n
Offering the credit as a refund is the key component to ensuring the EITC functions at the highest level. Taxpayers can take advantage of the credit when they file their tax return, both federal and state.<\/p>\n","protected":false},"excerpt":{"rendered":"
The Earned Income Tax Credit (EITC) is one credit offered by the government to working families with low-incomes, in an effort to keep them above the poverty line. The credit also helps to encourage families to continue to work, despite low earnings. The EITC can be a relief at tax time, and for Louisiana residents, […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[126],"tags":[324,487],"class_list":["post-895","post","type-post","status-publish","format-standard","hentry","category-states","tag-louisiana","tag-state-eitc"],"yoast_head":"\n