The earned income tax credit is primarily aimed at which group of workers?

The earned income tax credit (EITC) is specifically designed to assist workers with low to moderate income levels. This credit aims to reduce poverty and encourage employment by providing a refundable tax credit to those who earn a modest income. The EITC not only boosts the income of low-earners but also incentivizes individuals to seek employment, as it increases their overall compensation.

It is a targeted support program that benefits individuals who meet certain income eligibility requirements and file their tax returns. This makes it particularly beneficial for single-parent households and families, thereby fulfilling its purpose of providing financial relief and support to those who may struggle to meet their living expenses.

The focus of the EITC on low to moderate income earners is a key aspect that differentiates it from other tax credits that may be available to higher income earners, self-employed individuals, or part-time workers without regard to their overall income levels.