Washington

EARNED INCOME TAX CREDIT (EITC)

Washington recently passed the Working Families Tax Credit, or Recovery Rebate, which offers a flat credit to low-income households.  

Rate (Fully-Refundable): Flat rate based on household size and income level

The amounts by family size are:

  • $300 for single/married with no kids
  • $600 for families with 1 child
  • $900 for families with 2 children
  • $1,200 for families with 3+ children

Eligibility Requirements: All Washington taxpayers who qualify for the federal credit are automatically eligible and filers using Individual Taxpayer Identification Numbers. 

Latest Legislative Action: 

In 2021, Washington passed the Working Families Tax Credit or Recovery Rebate. The bill is currently on Gov. Jay Inslee’s desk awaiting signature. 

In the 2019 legislative session, leaders in the state House and Senate put forth proposals to enact and fund a modern Working Families Tax Credit. Such a provision was not included in the final budget.

In his 2015-2017 budget proposal, Washington Governor Jay Inslee proposed funding the Working Family Tax Credit through the Carbon Pollution Accountability Act. Such a provision was not included in the fiscal year 2015 budget.

Despite enacting one in 2008, Washington does not currently offer a state-level EITC because it has yet to be funded by the Washington legislature. The state’s version is known as the Working Families Tax Rebate (WFTR) but the credit has been suspended multiple times due to budget shortfalls.1

Notes: Washington is the only state without a personal income tax that has enacted a state-level EITC.

CHILD TAX CREDIT (CTC)

Washington does not currently offer a state-level CTC.

CHILD AND DEPENDENT CARE TAX CREDIT (CDCTC)

Washington does not currently offer a state-level CDCTC.

Source:

  1. Giving Working Families a Break, March 2015, Office of Governor Jay Inslee

For More State Information

Misha Werschkul, Executive Director
Washington State Budget & Policy Center

budgetandpolicy.org
(206) 262 0973
mishaw@budgetandpolicy.org