Starting next year, the government will raise the payment limits for the Earned Income Tax Credit (EITC) and significantly ease income requirements, allowing more households to benefit from the program. This measure materializes the original purpose of the EITC, which is to encourage work among low-income working households, support their real income, and promote self-reliance. In particular, dual-income households with an annual income exceeding 50 million won will now be eligible to receive the credit as long as they meet detailed conditions, substantially expanding the pool of beneficiaries.

According to the '2026 Tax Revision Plan' announced by the Ministry of Economy and Finance, the income thresholds for the EITC will be uniformly raised across all household types. This is interpreted as a move to realisticize income requirements, taking into account factors such as the determination of next year's minimum wage at 10,700 won per hour.

• The eased income criteria by household type are as follows:
• Single-person household: 26 million won (up 4 million won from the previous threshold)
• Single-earner household: 37 million won (up 5 million won from the previous threshold)
• Dual-income household: 52 million won (up 8 million won from the previous threshold)

Meanwhile, according to tax authorities, the regular application period for the 2025 tax year EITC and Child Tax Credit ran from May 1 to June 1 of this year. Payments are scheduled to be disbursed on August 27 to households that pass the review and are selected as final recipients.

However, even on the same payment date, the actual deposit time may vary by household. Following approval by the National Tax Service, the timing of deposits may be dispersed across the morning or afternoon depending on the electronic processing stage of each financial institution.

[The EITC payment recipients and amounts may vary depending on the applicant's household, income, and asset requirements, as well as the final review results of the National Tax Service. The scheduled payment date and actual deposit time may also differ depending on administrative and financial institution processing conditions, so please verify through the National Tax Service Hometax, Sontax, or your local tax office. This article was written with AI assistance.]