EITC meaning in Accounts and Finance ?

Answer: What is Earned Income Tax Credit mean?

The United States federal earned income tax credit or earned income credit (EITC or EIC) is a refundable tax credit for low- to moderate-income working individuals and couples, particularly those with children. The amount of EITC benefit depends on a recipient's income and number of children. For a person or couple to claim one or more persons as their qualifying child, requirements such as relationship, age, and shared residency must be met.

EITC phases in slowly, has a medium-length plateau, and phases out more slowly than it was phased in. Since the credit phases out at 21% (more than one qualifying child) or 16% (one qualifying child), it is always preferable to have one more dollar of actual salary or wages considering the EITC alone. (Investment income, however, is handled far less gracefully, as one more dollar of income can result in the sudden 100% loss of the entire credit.) If the EITC is combined with multiple other means-tested programs such as Medicaid or Temporary Assistance for Needy Families, it is possible that the marginal tax rate approaches or exceeds 100% in rare circumstances depending on the state of residence; conversely, under certain circumstances, net income can rise faster than the increase in wages because the EITC phases in.

The earned income tax credit has been part of political debates in the United States over whether raising the minimum wage or increasing EITC is a better idea. In a random survey of 568 members of the American Economic Association in 2011, roughly 60% of economists agreed (31.7%) or agreed with provisos (30.8%) that the earned income tax credit program should be expanded.

reference

Full Form	Category
European Information Technologies Certification	Academic & Science
Earned Income Tax Credit	Accounts and Finance
Enterprise Information Technology Contract	Business
East India Trading Company	Business
Electro Information Technology Conference	Community
Electronic Information Training Center	Community
Emerging Information and Technology Conference	Community
Emerging Information Technology Conference	Community
Emirates Integrated Telecommunications Company	Computing
European Information Technology Conference	Computing
Eastern Idaho Technical College	Educational Institute
Energy Industry Telecommunications Committee	Electronics
East Indiana Treatment Center	General
Electronic Ignition Timing Control	General
Educational Improvement Tax Credit	Income Tax