Department of Revenue’s Working Families Tax Credit Can Help Families

Editor’s note: This blog post comes courtesy of Nikki McCoy from the Washington State Department of Revenue.

The Department of Revenue (DOR) is ready to roll out a new tax credit for Washington workers—the Working Families Tax Credit (WFTC). Individuals and families may receive up to $1,200 back if they meet certain eligibility requirements. Applications for the new program opened Feb. 1, 2023.

The purpose of WFTC is to stimulate the local economy, promote racial equity, and support the financial stability and well-being of low-to-moderate income Washington residents and their families. This effort is aligned with the governor’s 10-Year Plan to Dismantle Poverty.

Why It’s Important

The refund returns a portion of sales tax paid each year and is modeled after the federal Earned Income Tax Credit (EITC) program. Washington is the only state that does not have a personal income tax to enact this type of program, which means a whole new system was created to credit people based on their federal income filings (since no state income taxes are reported). While this has been a heavy lift for DOR, the WFTC program and people are ready to serve.

Here are a couple of the distinguishing features of this program:

  • A person does not need a social security number to apply. If they are filing with an Individual Taxpayer Identification Number (ITIN), they may still qualify for the WFTC.
  • The cash refund provides autonomy for individuals and families to decide for themselves how to best reduce financial strain.

“It is an honor to be part of this groundbreaking program for Washington,” said WFTC Assistant Director, Kevin Dixon. “The WFTC will make a positive difference in the lives of so many. I am impressed by the talents and experiences of both agency staff and external partners who have rallied together for a successful implementation.”

How You Can Help

We’re all in this together.

Spread the word about this new program. Here are a few ways you can help:

  • Familiarize yourself with the program. Watch these quick videos to learn more.
  • If you get questions, direct people to the WFTC website, which is available in English and Spanish.
  • Check out the WFTC community partner toolkit for more resources to learn and share.

Questions, comments, or concerns? Contact the WFTC team

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