Seattle –Starting on February 1, Seattle residents will be able to apply for a new annual tax credit that will provide payments up to $1,200 for low-to-moderate income individuals and families in Washington.
The Working Families Tax Credit (WFTC) was approved and funded by the State legislature in 2021. The tax credit is expected to reach more than 400,000 households and benefit one in every three children in our state.
“Working families are at the heart of our vision for a vibrant One Seattle – and it’s our priority to improve affordability and take on rising costs of essential goods and services like groceries, childcare, and more,” said Mayor Bruce Harrell. “The new Working Families Tax Credit means putting up to $1,200 back into the pockets of Seattle families, real dollars that will make a real difference for those in need. We’re committed to partnering with the state to share this benefit in tandem with City services, helping connect residents with discounts and supportive resources to meet them where they are and provide paths toward economic security.”
“Direct cash payments to Seattle families could not come at a better time,” said Councilmember Teresa Mosqueda (Position 8, Citywide). “With inflation, high childcare and rent costs, and workplace insecurity, this cash will serve as a boost to help working families across our City. Thank you to the Urban League, the Budget and Policy Center, the Statewide Poverty Action Network, Asian Counseling and Referral Services, United Way of King County, and the broad coalition of advocates and state legislators who committed to investing in our communities. I’m proud to have played a part and that the City Council could be a partner in this effort, through a 2023 budget addition to help connect low-income families with resources like the Working Families Tax Credit.”
Individuals and families are eligible for the WFTC if they meet all the following requirements:
- Have a valid Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN).
- Lived in Washington a minimum of 183 days in 2022 (over half the year).
- Are at least 25 and under 65 years of age OR have a qualifying child in 2022.
- Filed a 2022 federal tax return.
- Eligible to claim the federal Earned Income Tax Credit (EITC) on their 2022 tax return (or would meet the requirements for EITC but are filing with an ITIN).
- Meet the income requirements.
Residents can check their eligibility and apply through the Washington Department of Revenue starting on February 1, 2023. Undocumented immigrants and mixed status families are eligible for the WFTC.
Applications for the 2022 tax year will be accepted through December 31, 2023.
Free assistance with the WFTC application is available through United Way of King County’s Free Tax Prep program, which offers assistance at 16 sites across King County, including at El Centro de la Raza. A full list of organizations offering assistance with the application can be found here.
What People Are Saying
“United Way knows that tax credits are one of the most powerful anti-poverty tools in the nation, it’s why we offer free tax preparation for people with low incomes throughout King County and we’re excited to see our neighbors get a boost in their refund from the Working Families Tax Credit. Every eligible household that visits a United Way of King County tax prep site will also receive assistance in applying for this new credit, which will make a real difference for so many families in Washington State.” – Gordon McHenry, Jr., CEO, United Way of King County
“This is a day to celebrate. Here in Washington state, home of the most regressive tax code in the country, 420,000 low-income households are now able to qualify for direct cash payments of up to $1,200 each year in order to offset sales taxes paid through the year. This money will help Washingtonians, regardless of whether they file taxes with a social security number or individual tax identification number, buy groceries, pay rent, and meet other core needs. This is a monumental first step towards reforming our inequitable state tax code.” – Misha Werschkul, Executive Director, Washington State Budget & Policy Center
“We know that the healthiest and safest communities are those where the basic needs of everyone are met; By providing $50 to $1,200 to families most in need, the Working Families Tax Credit is a crucial step towards this future of economic parity. As service providers, we witness how a long history of structural racism manifests into today’s racial wealth gap. The need for direct cash assistance is evident as a disproportionate share of Black families and individuals will qualify.” – Michelle Merriweather, President & CEO, Urban League of Metropolitan Seattle
“The Working Family Tax Credit will support economic security for Washington’s most vulnerable communities. This is vital for American Indian and Alaska Native people to improve the quality of life of both families and individuals.” – Esther Lucero, President & CEO, Seattle Indian Health Board
“This tax credit will be life-changing for our communities. Immigrants, particularly ITIN filers, pay millions of dollars in taxes every year. This tax credit will put money back in the pockets of the people who need it most so they can afford basic necessities for their families. Our communities matter and Washington should support them.” – Roxana Norouzi, Executive Director, OneAmerica
“At the Statewide Poverty Action Network, we know that poverty is a policy choice. Direct cash payments, like the Working Families Tax Credit, are one way to make sure people have the resources they need to support their families, pay for health emergencies, and put food on the table. Everyone deserves to have what they need to survive and live healthy lives, no matter what.” – Marcy Bowers, Executive Director Statewide Poverty Action Network