1.2 million working families in California eligible for tax credits, but still need to apply

With the tax filing deadline on May 17, there are 1.2 million working families in California who are eligible for tax credits from the State of California but may not be aware or haven’t applied.

United Ways of California and local partners are helping to make sure families who qualify know about the programs and how they need to simply file their taxes to receive as much as $4,200 from the two programs.

The Golden State Stimulus (GSS) is a one-time payment of $600 or $1,200 per tax return that is available to families who have an individual taxpayer identification number (ITIN) filer earning up to $75,000, while the California Earned Income Tax Credit (CalEITC) ranges from $243 to just over $3,000 and is available to families with incomes up to $30,000.

“Filing your tax return to get any eligible tax credits or stimulus payments is an easy and simple way for hardworking people to get additional financial support for their families,” said Gezche Graves, who works in San Jose, CA. “With Asian Americans oftentimes supporting multigenerational households, the refunds can help to pay down debt, cover utilities/rent, buy groceries, and support other caregiving needs.”

While the California Franchise Tax Board estimates more than 4 million taxpayers are eligible to receive CalEITC for the 2020 tax year, only 2.8 million had applied through April 26. Meanwhile, there are about 5.7 million people in California who earn less than $30,000 per year and are eligible for the Golden State Stimulus this year.

Californians who had an income of less than $66,000 in 2020 are eligible for free filing through myfreetaxes.org, where they can find a free tax filing site near them. Individuals and families who are applying with a federally issued Individual Tax Identification Number (ITIN) can find support through the ITIN guide, should their ITINs have expired and they need assistance renewing or getting one.

“I am married and we have four children. Each year we have our taxes prepared at Koreatown Youth and Community Center in Los Angeles. All of the volunteers and staff are friendly, knowledgeable and I can trust them with filing my return. I really look forward to preparing my taxes because I know that KYCC will look at every form and help me claim the maximum amount. Part of the refund we receive, we will use for vacation to San Diego – which we really need right now after staying home all year. The rest will be used for bills and groceries,” said Laarni Batac.