Insurance Agent Forum

[ABC]

I just had this pop up on my radar.
It looks like a tax credit for people making under $37,000 that have kids.
Looks like instead of getting a tax refund at the end of the year you get a % of it back each pay check.

Anyone in the group market that has clients know about this?

[JMO Fan]

It's like negative withholding. Employers pay it, but get credit against other taxes withheld. Eligible low-income taxpayers submit a W-5 to their employer, credit gets added to every paycheck. http://www.irs.gov/pub/irs-pdf/fw5.pdf