Big changes are coming to the DC Earned Income Tax Credit in 2025!
The DC EITC is a refundable tax credit for low- and moderate-income workers. For taxpayers with qualifying children, the credit is based on a percentage of the federal Earned Income Tax Credit (EIC) reported on your federal return.
What's New for 2025?
- The DC EITC will now equal 100% of your federal EIC (previously 40–70%).
- Refunds are typically paid as a one-time payment with your non-DC EITC refund.
- If your DC EITC refund is $1,200 or more, you can choose 12 equal monthly payments instead of a lump sum.
Important: Choosing monthly payments may affect benefits like SNAP. To avoid delays, keep your address and banking details updated with the DC Office of Tax and Revenue.
Who Is Eligible?
You qualify if:
- You claimed the federal EITC and did not claim the DC Low Income Tax Credit.
- You are a DC resident, age 18–30, and a parent of a minor child who does not live with you, with a court order requiring child support for at least half the year, and you paid the full child support amount due for that year.
Taxpayers Without a Qualifying Child If you don’t have a qualifying child, use the DC EITC Worksheet for Filers Without a Qualifying Child to determine eligibility. Even if you didn’t qualify for the federal credit due to income, you may still qualify for the DC EITC.
Credit Amount
- Eligible taxpayers receive 100% of the federal EITC amount.
- Parents paying child support under a court order also receive 100% of the federal EITC amount.
Additional Resources
Frequently Asked DC EITC Questions (FAQ)
What is the DC EITC?
The DC Earned Income Tax Credit is a refundable tax credit for low- and moderate-income workers, based on the federal EITC.
How much will I receive?
For 2025, the DC EITC equals 100% of your federal EITC amount.
Can I receive monthly payments? Yes, if your DC EITC refund is $1,200 or more, you can choose 12 equal monthly payments instead of a lump sum.
Will monthly payments affect my benefits?
Electing monthly payments may affect benefits like SNAP. Check with your benefits provider before choosing this option.
How do I update my information?
Log in to your MyTax.DC.gov account or call (202) 724-4829 to update your address and banking details.
Who qualifies for DC EITC?
Taxpayers who qualify for the federal EITC and did not claim the DC Low Income Tax Credit. Additional eligibility applies for certain parents paying for child support.
Get ready for Tax Season now. These Changes Might Affect You!
No More Paper Refund Checks
Do you have an account and routing number for direct deposit?
Beginning September 30, 2025, IRS is no longer issuing paper refund checks. If you need to open an account here are some options:
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The Bank On DC program has a list of banks and credit unions with accounts that meet the Cities for Financial Empowerment Fund’s National Account Standards
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The FDIC website has information on banks that let you open an account online and how to choose the right account.
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Veterans can use the Veterans Benefits Banking Program for access to financial services at participating banks.
Student loans in default? Act now to prevent your refund from being taken.
You could lose your tax refund this year if your student loans are in default. Act now to protect your refund. Visit: studentloanborrowerassistance.org
Did you purchase a new car in 2025 for personal use and take out a loan to pay for it in 2025?
You might be eligible for a deduction based on the interest you paid. You need to bring:
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Statement from your lender showing the interest the lender received from you in 2025.
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The VIN for your car.