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Wallstreet Esq.
Wallstreet Esq., Tax Attorney
Category: Tax
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Experience:  10 years experience
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If I am a 501c3 tax exempt organization bringing in about

Customer Question

If I am a 501c3 tax exempt organization bringing in about $50,000 this year....am I able to file a personal tax return and qualify my daughter for an earned income tax credit even though I don't pay taxes (tax exempt).
Submitted: 1 year ago.
Category: Tax
Expert:  emc011075 replied 1 year ago.

Hi. My name is ***** ***** I will be happy to help you.

To qualify for earned income credit you don't need to have taxable income as long as you have earned income, like job or self-employment. 501c3 is a corporate entity. So how is the income reported to you?

Customer: replied 1 year ago.
What do you mean, "how is the income reported to you?"
Customer: replied 1 year ago.
Do you mean, for example...on a 1040?
Expert:  emc011075 replied 1 year ago.

Ok. Earned income credit is claimed by individuals, not by corporation or organization. To qualify for earned income credit you need to have earned income like w2 or profit from a business. Do you have earned income?

Expert:  emc011075 replied 1 year ago.

You have 501c3 organization but you are not the organization. You file 990 for the nonprofit organization and 1040 for your individual taxes. So the question is, what type of income do you report on your 1040?