Indiana Earned Income Tax Credit Calculator
Figure basis: Official Indiana Department of RevenueThe Indiana earned income tax credit (EITC) is a state credit for working people with low to moderate income, set as 10% of your federal EITC. This calculator estimates your federal EITC from your earned income, filing status, and number of qualifying children using the IRS 2026 tables, then applies the Indiana rule to give your state credit. The Indiana credit is refundable. Enter your details to see both your estimated federal EITC and your Indiana credit. Figures are an estimate: the IRS computes the federal credit from $50 income bands, so your exact credit may differ by a few dollars. The state percentage is sourced from Indiana Department of Revenue and verified for 2026.
A single filer in Indiana with 2 children earning $25,000 has an estimated federal EITC of $7,082.23 and a Indiana credit of $708.22 (10% of the federal credit).
How the Indiana EITC works
The Indiana credit is built on the federal EITC. First the federal credit is found from your earned income, filing status, and qualifying children (it phases in, plateaus at a maximum, then phases out as income rises). Then Indiana applies 10% of your federal EITC. The Indiana credit is refundable, so if it is larger than the state tax you owe, you receive the difference as a refund.
federal EITC = phase-in, plateau, then phase-out per the IRS 2026 tables
Indiana EITC = federal EITC x Indiana percentage
The Indiana credit is not just 10% of your federal number
Indiana's earned income credit is 10% of the federal EITC and it is refundable, so a qualifying family gets the difference back even after their Indiana tax reaches zero. At 10%, Indiana sits at the modest end of the Midwest: Illinois pays 20%, Michigan lifted its credit to 30% in 2023, and Ohio offers 30% but caps it and keeps it non-refundable. Indiana's flat 10% is simpler, yet it is also one of the smaller state top-ups a working family can claim in the region.
The catch this calculator cannot fully see is that Indiana does not simply photocopy the federal credit. The state credit is claimed on Schedule IN-EIC, and Indiana's definitions of earned income and a qualifying child have not always tracked every federal EITC change over the years. For most single-earner households with wage income, the flat 10% estimate here will be very close, but joint filers and larger families should check the figure against Schedule IN-EIC and Information Bulletin 92 rather than assuming the state number is exactly one tenth of the federal one.
Two practical reminders: you must actually claim, or qualify to claim, the federal EITC to take the Indiana credit, and the refundable design means the credit is worth the same to you whether or not you owe Indiana income tax. Verify the current 10% rate with the Indiana Department of Revenue before filing, because a state percentage is exactly the kind of figure a legislature can move.
Indiana EITC: frequently asked questions
How much is the Indiana earned income tax credit?
The Indiana EITC is 10% of your federal EITC. For example, a single filer with 2 children earning $25,000 has an estimated federal EITC of $7,082.23 and a Indiana credit of about $708.22. Enter your own details above for your figure.
Is the Indiana EITC refundable?
The Indiana credit is refundable, so if it is larger than the state tax you owe, you receive the difference as a refund.
Do I qualify for the Indiana earned income credit?
Generally, if you qualify for the federal EITC you also qualify for the Indiana credit, which is based on it. You need earned income, a valid Social Security number, and investment income under the federal limit ($12,200 for 2026).
How is the Indiana EITC calculated?
First your federal EITC is computed from your earned income, filing status, and number of qualifying children using the IRS 2026 tables. Then Indiana applies 10% of your federal EITC. This calculator does both steps for you.
Official sources
- Indiana EITC percentage and refundability: Indiana Department of Revenue, as at Jul 15, 2026.
- Federal EITC 2026 parameters: IRS Rev. Proc. 2025-32, Internal Revenue Service.
Reviewed by the CalculatorHub team, edited by James Graham, 15 July 2026. See our methodology. General information, not tax advice; your exact credit is set on your tax return.