California preparers, 2019 EITC

Technical topics regarding tax preparation.
#1
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362
Joined:
15-Oct-2017 12:16pm
Location:
California
California increases the income limit of EITC to $30,000 this year in the 2019 tax return. Even though it is still a very low income, it is also enough to bring a certain number of clients into the territory.

Everyone knows how involved and time consuming the EITC due diligence process is. The time to examine documents, to work through the questionnaire, to ask 'investigative' questions, etc. Sometimes though, the reward from the EITC to the client can be only $30 or $50 of credit. That might not be even enough to pay for the time of some of us spent on the process. So I am just wondering how my fellow California tax professionals handle this issue.

Please share what you would do if you have a client whose income is just under the limit and may qualify for $15 of credits from California but you will have to spend one hour to work through the process.
 

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