CREAT: Census Research Exploration and Analysis Tool

EITC Participation Results and IRS-Census Match Methodology, Tax Year 2021

December 2024

Working Paper Number:

CES-24-75

Abstract

The Earned Income Tax Credit (EITC), enacted in 1975, offers a refundable tax credit to low income working families. This paper provides taxpayer and dollar participation estimates for the EITC covering tax year 2021. The estimates derive from an approach that relies on linking the 2022 Current Population Survey Annual Social and Economic Supplement (CPS ASEC) to IRS administrative data. This approach, called the Exact Match, uses survey data to identify EITC eligible taxpayers and IRS administrative data to indicate which eligible taxpayers claimed and received the credit. Overall in tax year 2021 eligible taxpayers participated in the EITC program at a rate of 78 percent while dollar participation was 81 percent.

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:
survey, earnings, ethnicity, tax, census bureau, irs, unemployed, eligibility, eligible, taxpayer, 1040

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Internal Revenue Service, Current Population Survey, Social Security, Social Security Number, Protected Identification Key, Earned Income Tax Credit, W-2, Social and Economic Supplement, Census Bureau Disclosure Review Board, Disclosure Review Board, Person Validation System, Center for Administrative Records Research, Center for Administrative Records Research and Applications, Adjusted Gross Income

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