The Internal Revenue Service (IRS) recently released 2010 Form W-5, Earned Income Credit Advance Payment Certificate. There are four criteria for claiming advance earned income credit (EIC) payments.
- Taxpayer (and spouse if filing jointly) must have a valid social security number.
- Taxpayer (or spouse if filing jointly) must have at least one qualifying child and be able to claim the credit using that child.
- Taxpayer’s expected earned income and adjusted gross income must be less than $35,535 ($40,545 if filing jointly).
- Taxpayer must expect to claim the EIC for 2010.
The maximum credit taxpayers may receive in advance is $1,830. Eligible taxpayers must file a new Form W-5 for 2010. The 2009 Form W-5 expired December 31, 2009. Contact Vision Payroll if you have any question on Form W-5.