I-CAN EIC User Guide
by: Low Income Taxpayer Clinic (LITC)
What is I-CAN! EICTM?
I-CAN! EICTM is a Web site that completes federal tax returns for low-wage earners who are eligible for the Earned Income Credit (EIC). It is an online program certified by the IRS. I-CAN! EIC TM prepares and prints completed returns. If you have an email address, you can e-file your forms to the IRS or print and send returns if you do not have an email address.
Who can use I-CAN! EICTM?
I-CAN! EICTM is available to anyone who has access to a computer that is connected to the Internet and a printer. The program asks you simple questions and walks you through each step and the filing of your return. A video guide appears on the screen and reads the questions to you. It is offered in English and Spanish.
What is the EIC?
Sometimes referred to as EITC or EIC, the Federal Earned Income Credit program is worth over $31 billion to working families. This credit can return as much as $4,400 a year to you at tax time. The average return is about $1,600. The dollar amount of the credit increases if you have children.
Who is eligible for the EIC?
You can get the EIC if you are between 25 and 64 years old and if last year you made less than $11,750 if you are single, $31,030 if you have one child, or $35,263 if you have two children. In order to get the EIC, the money you made has to be from work. Check here to see if you are eligible. To apply for the EIC, you will have to file forms with the IRS. I-CAN! EICTM makes it very simple to file these forms.
The I-CAN! EICTM program will determine your eligibility as you answer a series of simple questions. You do not need to know the tax law to use I-CAN! EICTM.
What do I need to use I-CAN! EICTM?
Before using I-CAN! EICTM, you must have the following paperwork in front of you:
Your social security number.
Your spouse's and children's names as they appear on the Social Security card and their social security numbers.
All forms that show the income you received in the past year. These may include:
All W-2's from employment for 2005.
Bank Statements which show interest earned on deposits.
1098Ts which list educational expenses.
Child Care Provider statements, which show expenses and Tax ID numbers for business providers or social security numbers of child care providers.
Your unemployment statements.
If you want to file your returns on the Internet instead of printing them out, save your password. You will need it to receive confirmation from the IRS. If you want to get your money directly deposited into a bank account, you should have the routing number for your bank account.
If you start the system and do not have all the needed information, you can leave the program and return to it later. The program will save everything that you entered and you can come back to it by using your password. (The password is given to every user by I-CAN! EICTM automatically when they begin the application.)
Why E-file?
E-filing offers you the option of filing your forms with the IRS immediately. This speeds up the process by which you can receive your Earned Income Credit and/or your tax return. Filing rules are different for electronic returns. I-CAN! EICTM offers you an option to either send in your printed paper returns to the IRS or to electronically file them.
The process of e-filing is simple and fast. I-CAN! EICTM will allow you to e-file. You must keep your password and check on the status of your tax return 3-7 days after using I-CAN! EICTM. After e-filing, I-CAN! EICTM will print out a Form 8453 OL, which you will sign and send in to the IRS. This tells the IRS that you e-filed. That's it!
After you e-file, you will get an electronic confirmation or rejection of the return. If you ever have a problem electronically filing the returns or you have a rejected return, you can always send in the paper return directly to the IRS, even if you were not able to fix the e-filing rejection issues.
Further Assistance
If you have questions about I-CAN! EICTM there are several places you can look for help.
You can call Montana Legal Services Association for limited assistance at 800) 666-6899.
There is also some information about the I-CAN! EICTM program and the Earned Income Credit on the Internet at http://www.MontanaLawHelp.org.
If you have questions about your taxes, or the EIC call the IRS tax help line at 1-800-829-1040. Trained volunteers can answer your questions.
EIC Quick Check
Step 1: Can You Answer Yes to ALL of the following?
I have a valid Social Security card.
My children (if I have them) have valid social security numbers.
I am filing Single or Married Filing Jointly.
I am a U.S. Citizen or Legal Resident.
I do not have foreign earned income (and won't file Form 2555).
I don't have investment income over $2,700.
I worked and earned money.
Step 2: If No Children, Can You Answer Yes to ALL of the following?
Are you (or your spouse if married filing jointly) between the ages of 25 and 64?
Are you NOT the dependent of another person?
Are you NOT the qualifying child of another person?
Did you live in the U.S. for more than half of the year?
Is your earned income and adjusted gross income less than $11,750 if you are single (or $13,750 if you are married filing jointly)?
OR
Step 2: If You Have Children, Can You Answer YES to all of the following?
My child is one of the following in relation to me:
My daughter, son, stepdaughter, stepson, or a descendant of any of them.
A brother, sister, stepbrother, stepsister, or a descendant of any of them, whom I cared for as my own child.
An eligible foster child placed by an authorized agency or court whom I cared for as my own child.
My child is one of the following:
under the age of 19.
under 24 and a full time student.
any age if permanently disabled.
My child has lived with me for more than 6 months during the year.
My child is not being claimed on someone else's return or a "qualifying child" of another person with a higher adjusted gross income.
My earned income and adjusted gross income is less than:
$35,263 if I have more than one qualifying child.
$31,030 if I have one qualifying child.
Tax Information and Resources
The following resources can provide you with more tax information and/or assistance with filing your taxes:
Volunteer Income Tax Assistance (VITA): 1-800-829-1040
I-CAN e-filing allows you to file your taxes and apply for the Earned Income Credit for free at: http://www.icanefile.org
MLSA Low Income Taxpayer Clinic gives low-income taxpayers free legal assistance on federal tax matters year round: (406) 543-8343 or (800) 666-6899.
Revised 1/06
The clinic listed herein is partially funded through matching grants provided by the Internal Revenue Service pursuant to the Internal Revenue Service Restructuring and Reform Act of 1998. The partial funding by the IRS does not imply that the clinics have a preferential relationship with the IRS. The decision of whether to use these clinics is your own and their use will not affect your rights before the IRS.
Call the MLSA HelpLine for legal assistance: (800) 666-6899
Low Income Taxpayer Clinic 304 North Higgins Avenue Missoula, Montana 59802 (406) 543-8343 (800) 686-4574
Last Reviewed On: 01/03/06
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