Vision Payroll

The Internal Revenue Service (IRS) recently released 2010 Form W-5, Earned Income Credit Advance Payment Certificate. There are four criteria for claiming advance earned income credit (EIC) payments.

1. Taxpayer (and spouse if filing jointly) must have a valid social security number.
2. Taxpayer (or spouse if filing jointly) must have at least one qualifying child and be able to claim the credit using that child.
3. Taxpayer’s expected earned income and adjusted gross income must be less than $35,535 ($40,545 if filing jointly).
4. Taxpayer must expect to claim the EIC for 2010.

The maximum credit taxpayers may receive in advance is $1,830. Eligible taxpayers must file a new Form W-5 for 2010. The 2009 Form W-5 expired December 31, 2009. Contact Vision Payroll if you have any question on Form W-5.