January 26 is Earned Income Tax Credit Awareness Day, and all workers who earned income in 2023 should check their Earned Income Tax Credit eligibility.
Oregon’s Department of Revenue is working with the Oregon Department of Human Services (ODHS) and other state agencies and community partners to encourage taxpayers to learn more about this credit and find out if they’re eligible. One in three Oregon taxpayers eligible to claim the federal EITC are not doing so, adding up to an estimated $100 million in unclaimed credits.
While many are unaware of the EITC and other credits, another hurdle is the need for free help filing tax returns. Find information about free tax filing assistance here or call 2-1-1.
The EITC is a federal tax credit for people for making up to $63,398 in 2023. Families may be eligible for a maximum refundable credit of $7,430 on their federal tax returns, and a maximum Oregon Earned Income Credit of $891 on their state tax returns. Certain taxpayers without children may also be eligible for these credits.
Individuals may qualify for the ETIC, the Oregon EIC, and other credits, even if they are not required to file. To receive the refundable credits, however, they must file a federal and state tax return.
Basic EITC qualifications include:
• All filing statuses are eligible, but some have specific requirements that must be met in order to qualify.
• You, your spouse, or any qualifying child must have a Social Security number to claim the federal credit.
• Your earned income in 2023 must be below certain limits based on your number of qualifying dependents.
• You may be eligible even if you do not have a qualifying child.
• Taxpayers can use the IRS EITC Assistant to check their eligibility further. The assistant is available in English and Spanish.
The qualifications for the Oregon EIC are the same as those listed above for the federal EITC, except that the Oregon credit is also available to taxpayers who use an individual taxpayer identification number (ITIN) to file their taxes or have a qualifying child with an ITIN. If you have an ITIN, claim the Oregon EIC using schedule OR-EIC-ITIN.
New for tax year 2023, the Oregon Kids Credit is a refundable credit for low-income people with young dependent children. For those with a modified adjusted gross income (MAGI) of $25,000 or less, the full credit is $1,000 per child for up to five dependent children under the age of six at the end of the tax year. A partial credit is available for individuals and families with an MAGI up to $30,000.
To encourage Oregonians to save for college and job training, the Education Savings Credit for Oregon 529 Plan contributions allows single filers to receive a refundable credit of as much as $170 ($340 for joint filers) if they contribute to an Oregon College Savings Plan account before tax day. The refundable tax credit is also available for contributions to an Oregon ABLE Savings Plan account, which empowers people experiencing disabilities to invest and build financial security without jeopardizing their eligibility for vital state and federal benefits.
More information about the federal EITC, the Oregon EIC, the Oregon Kids Credit and other similar credits, go to the Tax Benefits for families page.
People can dial 2-1-1 or visit the Oregon Department of Revenue website to find free tax preparation sites by using our interactive map. For more information on the EITC, visit https://www.eitc.irs.gov/. For questions about Oregon taxes, call the Department of Revenue at 503-378-4988.