LANSING, MI — Michigan, Governor Gretchen Whitmer is motivating eligible residents to apply for both the federal and state Earned Income Tax Credit (EITC), also known as the Working Families Tax Credit, during their 2023 tax filings. This credit could reduce their federal and state tax liabilities, or even result in a refund. The governor previously enacted a law that increased Michigan’s state match of the federal EITC by five times, raising the average refund by more than $600.
The Working Families Tax Credit now offers an average refund of $3,150 to approximately 700,000 families in Michigan. The credit is seen as a significant support across Michigan communities. Eligible Michiganders are encouraged to claim this credit when filing taxes.
To be eligible, individuals must meet certain requirements and file a federal income tax return, even if no tax is owed or there is no requirement to file a return. If a federal credit is granted, the state of Michigan will provide up to an additional 30% credit when the taxpayer files their state income tax return.
The amount of the federal EITC depends on income, filing status and number of qualifying children claimed as dependents on the taxpayer’s federal income tax return. The EITC reduces the amount of tax owed and may provide a refund.
The IRS says the average federal EITC claimed on returns from Michigan was $2,587 last year. The average Michigan EITC was $154, with the credit at 6%.
The additional 24% adjustment checks for tax year 2022 will average $618 per recipient.
Tax Year 2022 Michigan EITC Supplemental Checks
In mid-February, the Whitmer Administration will begin issuing supplemental check payments over a 5-to-6-week period to provide eligible taxpayers with the remaining 24% portion of the Michigan EITC for the 2022 tax year.
These paper check payments will be issued to the most recent address on file with Treasury. They update taxpayer address records based on current tax filings, so your address should be up to date.
Do not file an amended 2022 individual income tax return to change your address or claim the increased Michigan EITC.
Free Tax Help
Individuals with low income, disabilities or who are 60 years of age or older may qualify for free tax preparation help from IRS-certified volunteers. Go to irs.treasury.gov/freetaxprep or dial 2-1-1 for help.
Additional free tax help can be found at www.michiganfreetaxhelp.org. To learn more about the EITC, go to www.irs.gov/eitc. For information about Michigan income taxes can be found at www.michigan.gov/incometax.
