Earned Income Tax Credit for 2025 Returns: How to Claim the EITC and When to Expect Your Refund
Every year, many working families qualify for the Earned Income Tax Credit (EITC) and do not claim it. The IRS estimates about 1 in 5 eligible taxpayers miss this credit, which is why they launch an annual outreach campaign around EITC Awareness Day.
If you are eligible, the EITC can be a meaningful refund boost. The IRS reported that 23.5 million workers and families benefited from about $68.5 billion in EITC payments nationwide, and the average EITC for tax year 2024 was $2,916.
Below is a plain-English guide to (1) how to apply for the EITC and (2) what to expect with your refund timing, including an important date for many filers: March 2, 2026.
What is the Earned Income Tax Credit?
The EITC is a federal tax credit designed to help low-to-moderate-income workers. Many people qualify because they work and earn wages, even if they do not owe much tax.
A few key points:
You must have earned income (for example, wages reported on a W-2, or self-employment income).
You must meet IRS rules for income limits and other eligibility requirements.
You can qualify with or without children, but the credit is often larger for families with qualifying children.
If you are unsure, that is normal. Eligibility depends on details like filing status, income, residency, and whether a child meets the IRS “qualifying child” tests.
How to claim the EITC
Step 1: Gather your tax documents
At minimum, you will want:
W-2s from employers
1099s (if you did contract, gig, or self-employment work)
Social Security numbers (SSNs) for you, your spouse (if applicable), and any children you will claim
Childcare records (if relevant)
Proof your child lived with you (school records, medical records, daycare statements, or similar), if you are claiming children
Why this matters: If you claim children for EITC (or the Additional Child Tax Credit), the IRS may take extra time to verify the claim before releasing a refund.
Step 2: File a tax return, even if you are not required to file
This is the part many people miss.
To get the EITC, you generally must file a federal tax return and claim the credit. The IRS specifically reminds taxpayers that filing is required to receive the EITC.
Step 3: File electronically and choose direct deposit
The IRS also reminds taxpayers that the fastest way to get a refund is to file an accurate return electronically and choose direct deposit.
If you want help preparing and filing correctly, you can review our tax preparation services and get started through our new client process.
Step 4: Double-check the details (small errors cause big delays)
EITC returns are more likely to be delayed when there are:
SSN or name mismatches
Incorrect filing status
Incorrect child information (relationship, residency, age rules)
Missing income forms (a common issue for gig work)
If anything looks off, it is usually better to fix it before filing than to file fast and deal with a delay or notice later.
When will you get your EITC refund?
This is the part we want more people to know up front.
The IRS expects most early EITC refunds by March 2, 2026
If you file early and your refund includes the EITC (or the Additional Child Tax Credit), the IRS expects most refunds to be available in bank accounts or on debit cards by March 2, 2026 if you chose direct deposit and there are no other issues with the return.
A few practical notes:
Some taxpayers may see funds sooner depending on how their bank processes deposits.
The IRS also notes that Where’s My Refund will be updated with projected deposit dates for most early EITC/ACTC filers by Feb. 21, 2026.
You can check your status using Where’s My Refund.
Why the IRS “holds” EITC refunds for many families
Many taxpayers assume that once they file, the refund should come quickly. With EITC (and often the Additional Child Tax Credit), that is not always how it works.
Here is the simple explanation:
The IRS often needs time to confirm income and verify dependent claims (including matching children to the taxpayer claiming them).
These credits are a common target for fraud, so the IRS uses additional screening to make sure the refund is going to the right taxpayer and that the children being claimed meet the rules.
This is why some families feel like “the IRS is holding my refund.” In many cases, it is part of the IRS verification process for returns claiming these credits, and it is one reason the IRS projects many early EITC refunds arriving around March 2.
How to avoid delays if you are claiming children
If you want the best chance of receiving your refund as quickly as possible:
Make sure names and SSNs match Social Security cards exactly
Only claim children who meet the IRS tests (relationship, residency, age, support rules)
Include all income (W-2s and any 1099s)
Avoid “guessing” amounts if you are missing a form
Choose e-file + direct deposit
If you have shared custody or a complex family situation, it is especially important to get the dependent and credit rules right because conflicting claims can trigger delays.
We can help you claim the EITC correctly
The EITC can be a major benefit, but it also has detailed eligibility rules. If you are unsure whether you qualify, or you want help filing accurately the first time, we can help you:
Confirm eligibility
Prepare and file correctly (including the right forms for dependents and credits)
Reduce the risk of IRS delays caused by preventable errors
If you want to talk it through, you can schedule a consultation. If you are ready to start, follow our new client steps. For pricing expectations, you can review tax prep pricing.
Quick reminder
This post is general information, not individual tax advice. Every taxpayer’s situation is different, especially when children, shared custody, self-employment income, or prior-year issues are involved.
