TAX CREDITS FOR WORKING FAMILIES COULD BE WORTH THOUSANDS OF DOLLARS
“As working families in Oregon start to prepare their tax returns this year, they need to know they may be eligible for federal and state tax credits worth thousands of dollars,” said Nina Roll, Director of Family Care Connection’s Child Care Resource & Referral program at Oregon State University Extension Service. “Families are facing incredible economic pressures, and can’t afford to leave this money on the table.”
Federal and state tax credits can help offset the cost of child care and other expenses for working families. For 2012, families may be eligible for a number of federal tax credits, including:
Earned Income Tax Credit, which helps provide a wage supplement for low and moderate-income families (those earning less than $50,270 annually). This credit is worth up to $5,891, and is refundable.
Child Tax Credit, designed to help families meet some of the costs of raising children. This credit is worth up to $1,000 per child. Families who owe little or no income tax can receive some or all of this credit as a refund if they earned at least $3,000 in 2012.
Child and Dependent Care Tax Credit, designed to offset some of the child or dependent care costs that families incur in order to work. This credit is worth up to $2,100, though the amount that can be claimed is limited by a family’s federal income tax liability.
For 2012, Oregon tax credits can help you with:
Up to $1,800 from the Oregon Child and Dependent Care Tax Credit.
Up to 40% of your qualifying child care expenses without limit from the Working Family Child Care Tax Credit.
Up to $353 from the Oregon Earned Income Tax Credit.
“These credits can help families in Oregon make ends meet, but they must file a tax return to claim the credits,” Roll said. “Our goal is to help more families learn about the benefits of these tax credits, so they don’t miss out.”
Visit www.cashoregon.org/taxprep/sites.htm to find out where you can get FREE help with your taxes. You can also contact the AARP Foundation’s Tax Aide Program toll-free at 888-227-7669 or use the online locator at www.aarp.org/applications/VMISLocator/searchTaxAideLocations.action