Remember to Advise Your Employees About the Earned Income Tax Credit

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As tax season comes to an end, remember to tell your employees about their potential eligibility for the earned income tax credit (EITC), if you have not done so already.

In 2017, the Oregon Legislature enacted SB 398 which requires employers to provide written notice to each employee about the state and federal EITC. The notice must be sent annually with every W-2. We previously blogged about these requirements here.

If you didn't send the EITC notice out with W-2s, do so now. The notice can be sent by regular or electronic mail or by hand delivery and should state:

Employees may be eligible for the Earned Income Tax Credit (EITC or EIC), a benefit for working people with low to moderate income, particularly those with children. EITC reduces the amount of tax owed and may provide a refund.

Visit these websites for additional information about how to qualify:

Federal: https://www.irs.gov/credits-deductions/individuals/earned-income-tax-credit

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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