In the 2019-2020 budget, the California Earned Income Tax Credit (CalEITC), a cash-back tax credit that puts money back into the pockets of California’s working families and individuals, was expanded from $400 million to $1 billion. More than 600,000 young adults in California, including current and former foster youth, are expected to qualify for the CalEITC this tax season.
Since a majority (60%) of TAY in care are earning at least $1 and 40% of youth females in this population are parents, most would qualify for the federal EITC, the CalEITC, and parenting youth could receive an additional $1,000 through the New Child Tax Credit for children younger than age 6. This could mean hundreds or thousands of dollars in tax refunds for transition age youth in care.
With the support of child welfare partners and free tax preparation services, these refunds can help young adults cover necessary life expenses. John Burton Advocates for Youth (JBAY) invites you to partner with us in 2020 to support youth in care with filing taxes and claiming the expanded California Earned Income Tax Credit (CalEITC).
Some of the things that you can do this tax season include: