Who Knows about the Earned Income Tax Credit?

Brief

Who Knows about the Earned Income Tax Credit?

January 1, 2001

Abstract

The Earned Income Tax Credit (EITC) is the largest cash transfer program for low-income parents in the United States. The refundable tax credit supplements wages and offsets taxes paid by low-income workers. Research suggests that the EITC has not only been effective in moving families over the poverty line, but it has also encouraged work among single mothers.

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