Every tax season, billions of dollars go unclaimed in the United States — and the people who earned that money are the ones who never see it.
The Earned Income Tax Credit, or EITC, is one of the largest anti-poverty programs in the country, yet roughly one in five eligible workers fails to claim it, according to IRS estimates.
The credit is designed for people who work but don't earn much.
If you made under about $66,000 last year, you may qualify depending on your income, filing status, and how many children you have.
Workers with three or more kids can receive up to $7,830 for the 2024 tax year.
Those without children can still get a smaller credit, though it's capped at $632.
Here's the part that trips people up: you have to file a tax return to get it, even if you owe nothing.
Many low-wage workers skip filing because their income is too low to require it.
That single decision can cost them hundreds or thousands of dollars.
The IRS doesn't call you to hand it over — you have to ask.
The credit phases in as you earn, plateaus, then phases out as your income rises.
It rewards work while cushioning the blow for families stretched thin by grocery bills, rent, and credit card minimums.
In a year when food prices are still running above pre-pandemic levels, that refund often lands at exactly the moment families need it most.
There's a catch worth flagging: the EITC has a high improper payment rate, largely from honest mistakes and a smaller share from fraud.
Congress has repeatedly debated tightening eligibility rules.
For now, though, the credit remains available — and the IRS has a free tool on its website to check whether you qualify in about five minutes.
If you've already filed and think you missed it, you can amend your return with a 1040-X.
If you haven't filed yet, free filing options exist through IRS Free File and many Volunteer Income Tax Assistance sites.
The deadline for most filers this year is April 15, but if you owe nothing, there's no penalty for filing later — only for waiting past the three-year window to claim a refund.
One more thing: if you didn't get the credit in a prior year, you can still go back and claim it for up to three years.
That's potentially thousands of dollars sitting in old returns you never filed.
A tax preparer or a free VITA clinic can help you sort through it.
Final Thoughts
It's a credit Congress created for working people, and not claiming it doesn't make you noble — it just makes you poorer.