The Earned Income Tax Credit (EITC) is a refundable federal income tax credit for low-income working individuals and families. Congress originally approved the tax credit legislation in 1975 in part to offset the burden of social security taxes and to provide an incentive to work. Workers with low wages who do not have a child might be able to claim the Earned Income Tax Credit (EITC). Childless workers with low-income are believed to be the largest number of taxpayers who do not claim the credit.

The EITC has no effect on certain public assistance benefits. In most cases, EITC payments will not be used to determine eligibility for Medicaid, Supplemental Security Income (SSI), food stamps, low-income housing or most Temporary Assistance for Needy Families (TANF) payments.

In Pierce County, 49,662 low-income wage earners filed for the earned income tax credit for the 2008 tax year, a 3.5% decrease over the 51,447 who filed the previous year.  The average EITC return continues to increase and is up from just over $1,500 in 2000 to over $1,900 in the 2008 tax filing year.