Are employers permitted to add advance earned income credits to your paycheck without your consent?

They should NOT do this with out you choosing to have this done BUT some of them probably do it without being asked to are without you giving them the completed W-5 form.

You can receive part of your 2010 EIC in your paycheck by completing a form W-5 and giving it to your employer.

Publication 596 chapter 6

Step 2. Complete Form W-5 and Give It to Your Employer If you answered "Yes" to all the questions in Step 1, and you wish to get part of your EIC now, you must give your employer a Form W-5 for 2010.

After you have read the instructions and completed Form W-5, give the lower part of the form to your employer. Keep the top part for your records. A part of a blank Form W-5 is shown here.

4. How often do I have to file Form W-5? The 2010 Form W-5 you give to your employer is valid until December 31, 2010. If you expect to be eligible for EIC in 2011 and you want to receive advance payments, you must give your employer a new Form W-5 in 2011. Do this each year you expect to be eligible for the EIC.

5. What should I do if my situation changes after I give Form W-5 to my employer? Give your employer a new Form W-5 if any situation shown in the following table applies to you for 2010.

Advanced means move forward. If you qualify for the EITC it is possible to a part of the amount in each pay check during the year and when you do this the amount that you receive in advance will mean that when you file your 1040 federal income tax return in the next year your REFUND amount will be reduced by the advanced payment amount that you received during the the tax year.

Go to the IRS gov website and use the search box type Publication 596, Earned Income Credit.

Go to Introduction. How Can I Get EIC in My Paycheck in 2010?

You may prefer to get some of next year's EIC throughout the year, rather than wait and get EIC after you file your tax return. Chapter 6 explains advance payment of EIC and tells how, if you have a qualifying child, you may be able to get some of the EIC in your paycheck in 2010.

What_is_advanced_earned_income_credit