Could You Receive an IRS Refund of Over $11,000? Eligibility and How to Claim

Tax season has officially begun, running from January 27 to April 15, 2024. During this period, the Internal Revenue Service (IRS) will process more than 140 million tax returns. While filing taxes is primarily about reporting income, it’s also an opportunity to claim significant refunds through tax credits. Some taxpayers may even qualify for refunds exceeding $11,000. Here’s how it works and who qualifies.

Who Can Receive Over $11,000 in Refunds?

Refunds of more than $11,000 are available exclusively to California residents who qualify for both the federal Earned Income Tax Credit (EITC) and the state-level California Earned Income Tax Credit (CalEITC).

“If you have low to moderate income and are employed, you could qualify for over $10,000 in cash refunds from the federal and state credits combined,” explains Free Tax Prep LA, a tax preparation service for California residents.

Both credits are refundable, meaning eligible individuals can receive cash even if they don’t owe any taxes.

What Is the Earned Income Tax Credit (EITC)?

The federal EITC is designed to support low- to moderate-income individuals and families. To qualify, you must meet these requirements:

• Have earned income during the tax year.
• Have investment income below the set limit.
• Have a valid Social Security number.
• Be a U.S. citizen or resident alien for the entire year.
• Not file Form 2555 (income earned abroad).

The amount you receive depends on your income, filing status, and the number of qualifying children. For some families, this credit can total up to $8,000.

What Is the California Earned Income Tax Credit (CalEITC)?

CalEITC is a state-level refundable tax credit for California residents. To qualify, you must:

• Be at least 18 years old or have a qualifying child.
• Have earned income between $1,000 and $31,950.
• Have a valid Social Security Number or Individual Taxpayer Identification Number (ITIN).
• Live in California for at least half the year.
• Not be a dependent or qualifying child on someone else’s tax return.

When combined with the federal EITC, eligible taxpayers can receive up to $11,474. The exact refund amount depends on your income and the number of children you have.

How to Claim the Credits?

If you’re eligible for both EITC and CalEITC, you’ll need to claim them on your tax return. Tools like the CalEITC calculator and the EITC virtual assistant can help estimate your refund. Be sure to provide accurate information about your income and qualifying children when filing.

When Will You Get Your Refund?

The IRS typically issues refunds within 21 business days if you file electronically and set up direct deposit. If you don’t use direct deposit, expect your refund to arrive by mail within 6 to 12 weeks.

For those claiming the EITC or CalEITC, the process may take slightly longer due to additional verification.

Maximize Your Refund This Tax Season

Don’t miss out on these credits if you qualify. Filing your tax return accurately and on time can help ensure you receive the maximum refund available. Whether you’re eligible for the EITC, CalEITC, or both, these refunds can provide a significant financial boost.

This article has been carefully fact-checked by our editorial team to ensure accuracy and eliminate any misleading information. We are committed to maintaining the highest standards of integrity in our content.