Discussion:EIC & Workers Compensation
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| Revision as of 20:47, 4 February 2008 Tptking (Talk | contribs) (I agree that wor) ← Previous diff |
Current revision Ucimnemc (Talk | contribs) (I am not aware o) |
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Current revision
Discussion Forum Index --> Basic Tax Questions --> EIC & Workers Compensation
Discussion Forum Index --> Tax Questions --> EIC & Workers Compensation
| 4 February 2008 | |
| Taxpayer appears to qualify for EIC based upon the wages earned and other eligibility requirements. The taxpayer also received workers compensation income during the year. Per Publication 596, workers compensation income does NOT qualify as earned income.
Based upon my reading of publication 596, receipt of workers compensation income (which is nontaxable to the taxpayer) will not disqualify someone from receiving the EIC, right? Thanks for the confirmation. | |
| 4 February 2008 | |
| Don't think you will find workers comp. in Sec. 32(c)(2). | |
| 4 February 2008 | |
| I agree that workers comp does not qualify as earned income. The taxpayer has sufficient wages that qualify and all other eligibility requirements are met. I just would like to confirm that this tax free income doesn't prevent someone from claiming the credit when they are otherwise entitled to it.
I think the taxpayer qualifies, but I'm just trying to get another opinion as I don't do many EIC returns. Thanks! | |
| 5 February 2008 | |
| I am not aware of any reason that worker's comp would disqualify the EIC so long as the TP meets all of the other EIC requirements. | |
