Michigan Earned Income Tax Credit (EITC)

The EITC is a proven effective anti-poverty tool that rewards work and helps low-income families make ends meet. Benefits phase out at higher incomes, and more benefits go to families with children.

Michigan’s EITC provides a tax credit of up to $2,414. The amount you receive depends on several factors, including your income, filing status, and number of qualifying children.

The credit is refundable, meaning if your credit amount exceeds the taxes you owe, the difference will be issued to you as a refund.

FAQ

How much is Michigan Earned Income Tax Credit?

Michigan’s EITC supplements the federal EITC with a state credit equal to 30% of the federal allocation, with families raising at least two children receiving a bigger benefit.

Earned Income Tax Credit by number of children, Michiganders
NO. OF CHILD	EITC
0	$195
1	$1,298
2	$2,146
3 or more	$2,414

Can I get a refund if I owe no tax in Michigan?

If your Michigan EITC is $2,414 and you owe $1,000 in state income tax, the credit cancels your tax bill and you receive the remaining $1,414 as a refund as illustrated in the table below:

Sample Michigan EITC refund calculation
Sample Calculation	Amount
Michigan EITC	$2,414
Tax Owed	$1,000
Refundable Credit	$1,414

To claim both the federal and Michigan’s EITC, you must first file a tax return — even if you do not owe any tax or are not required to do so because you had too little income.

How do I claim the Michigan EITC?

To claim the credit, file your Michigan income tax return (Form MI-1040), entering your federal earned income credit and the Michigan credit calculated from it on the earned income credit lines.

Michigan Department of Treasury
Individual Income Tax
(517) 636-4486