2009 Earned Income Credit Notice

In accordance with Internal Revenue Service laws and regulations, all Seminole State College employees whose wages were not subject to income tax withholding in 2008 may be eligible for a refund because of the Earned Income Credit (EIC). The EIC is a refundable tax credit for certain workers whose income falls below a certain level. Because it is a credit, the EIC is subtracted from the amount of tax owed.

There are two ways for workers to receive the Earned Income Credit (EIC):

• In a lump sum, when they file their annual tax return
• In their 2009 pay, as an Advanced Earned Income Credit (AEIC)

Advanced payments may ease the burden of meeting day-to-day expenses. Families will receive part of the credit in their pay during 2009, rather than waiting to claim the credit until they file their annual tax return.

As an employee, you are eligible to receive advanced EIC payments in 2009 if you meet each of the following conditions:

1. You (and your spouse, if filling a joint return) have a valid Social Security number issued by the Social Security Administration.
2. You expect to have at least one qualifying child and be able to claim the credit using that child:
   • You have one qualifying child and your 2009 earned income and modified adjusted gross income will be less than $35,463 ($40,463 if married filing jointly for 2009).
   • You have two qualifying children and your 2009 earned income and modified adjusted gross income will be less than $40,295 ($45,295 if married filing jointly).
   • You have three or more qualifying children and your 2009 earned income and modified adjusted gross income will be less than $43,279 ($48,279 if married filing jointly).
   If you do not have a qualifying child, you may still be eligible for an EIC lump sum payment when you file your annual tax return.
3. You expect your 2009 earned income and adjusted gross income to be less than $35,463 ($38,583 if you expect to file a joint return for 2009). Include your spouse's income if you plan to file a joint return.

• Your 2009 investment income is more than $3,100.
• You plan to file Form 2555 or 2555-EZ (relating to foreign earned income) for 2009.
• You are a nonresident alien for any part of 2009 (unless you are married to a U.S. citizen or resident), file a joint return and elect to be taxed as a resident alien for all of 2009.

If you are eligible for the Advanced Earned Income Credit and choose to receive it with your monthly pay, contact Payroll Services in the Finance and Budget Office (room A-100R or A-100P) to complete the EIC Advance Payment Certificate (Form W-5).

Did you know?

Seminole State's healthcare and paralegal programs are nationally accredited.