Earned income credit in Pennsylvania
Varies
Does Pennsylvania Have an Earned Income Tax Credit?
Short answer: Yes: Pennsylvania offers the Working Pennsylvanians Tax Credit, 10% of the federal EITC (max $805 for 2025) (refundable). New starting tax year 2025. Anyone who qualifies for the federal EITC qualifies. The DOR calculates it automatically when a copy of the federal Form 1040 is attached to the PA-40. The 2026 maximum should track the federal credit but had not been published when checked.
Claim the federal EITC on Form 1040 (with Schedule EIC if you have qualifying children); state credits go on your state return.
Records to keep: Keep your state return, W-2s and 1099s (1099-R, SSA-1099), and any state credit worksheets. Check your state revenue department's current-year instructions before you file.
Earned income credit in Pennsylvania
Varies
Individuals / Personal Taxes
Yes: Pennsylvania offers the Working Pennsylvanians Tax Credit, 10% of the federal EITC (max $805 for 2025) (refundable). New starting tax year 2025. Anyone who qualifies for the federal EITC qualifies. The DOR calculates it automatically when a copy of the federal Form 1040 is attached to the PA-40. The 2026 maximum should track the federal credit but had not been published when checked.
Business justification
Yes: Pennsylvania offers the Working Pennsylvanians Tax Credit, 10% of the federal EITC (max $805 for 2025) (refundable). New starting tax year 2025. Anyone who qualifies for the federal EITC qualifies. The DOR calculates it automatically when a copy of the federal Form 1040 is attached to the PA-40. The 2026 maximum should track the federal credit but had not been published when checked. Claim the federal EITC on Form 1040 (with Schedule EIC if you have qualifying children); state credits go on your state return.
Category
- Personal Tax Deductions