Noncustodial Parent Earned Income Tax Credit NCP EITC

There is a change that, if you are a noncustodial parent who does not live with a child, you may be eligible for the NCP/EITC on your 2013 New York State income tax return if you earned less than $36,900 and your child support payments were up-to-date.

This EITC of NY state is aimed at helping  young, low-income working noncustodial parents in an attempt to help them become more involved in the raising of their children. It is an important part of welfare reform and has led to less people being on welfare benefits.

There is a combined federal, New York State and /or New York City EITC – which can bring in benefits as much as $4,278 for a single parent with one child; $7,069 for two children; and $7,953 for three or more children. The EITC is one of the most effective tools at increasing labor force participation of low skilled workers and is also an efficient means of supplementing the low wages paid to such workers.

The Noncustodial Parent New York State EITC rewards noncustodial parents who work by augmenting their wages. It provides a substantial work incentive for those not working or working only intermittently. The NY EITC also encourages greater involvement by noncustodial parents who may avoid contact with children because of their limited financial resources.

You must meet the following requirements of the New York State EITC (NY EITC):

  • be a New York Resident Taxpayer
  • be 18 years of age or older
  • be a noncustodial parent and have a child who does not reside with you or children who do not reside with you
  • have a child support order through New York Child Support Unit (SCU) for at least one-half year; and
  • have paid equal (100%) of the current amount of child support due for given tax year.

The value of the benefit is equal to the greater of 2.5 times the federal EITC as if you had no qualifying children or 20% of the federal EITC allowed for custodial parents with one child on a sliding scale to those with incomes up to approximately $36,900.

Taxpayers must use NYS Tax Form IT-209

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