Which statement is NOT true about the structure of the Earned Income Tax Credit (EITC)? A. EITC payments decrease as earnings increase, but everyone qualifies for some amount. B. At a particular range of income, government reduces EITC payments based on a certain fixed percent of income earned. C. EITC pays a fixed amount at a range of income. D. Up to a threshold, EITC pays a certain fixed percent of wage earned.
Which statement is NOT true about the structure of the Earned Income Tax Credit (EITC)? A. EITC payments decrease as earnings increase, but everyone qualifies for some amount. B. At a particular range of income, government reduces EITC payments based on a certain fixed percent of income earned. C. EITC pays a fixed amount at a range of income. D. Up to a threshold, EITC pays a certain fixed percent of wage earned.
Chapter12: Alternative Minimum Tax
Section: Chapter Questions
Problem 5DQ
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Which statement is NOT true about the structure of the Earned Income Tax Credit (EITC)?
A. EITC payments decrease as earnings increase, but everyone qualifies for some amount.
B. At a particular range of income, government reduces EITC payments based on a certain fixed percent of income earned.
C. EITC pays a fixed amount at a range of income.
D. Up to a threshold, EITC pays a certain fixed percent of wage earned.
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