Credit Letter Example For Students In Minnesota
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The federal credit equals 35 percent of up to $3,000 of qualifying expenses for one dependent ($6,000 of qualifying expenses for two or more dependents). The maximum federal credit is $1,050 for one dependent and $2,100 for two or more dependents.
Lower-income taxpayers are annually eligible for a working family credit equal to 4 percent of the first $9,220 of their earned income resulting in a maximum credit of $369. These amounts were indexed for inflation starting in TY 2024. Earned income is defined federally as wages plus self-employment income.
