As many families continue to feel the financial squeeze, the Child Tax Credit can provide some much-needed relief. Here’s everything you need to know about when it’s coming in August.
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The Child Tax Credit is a tax credit for families with dependent children. The credit is worth up to $2,000 per child and is refundable, which means that it can be paid out even if you don’t owe any taxes.
The tax credit is set to expire at the end of 2017, but it has been extended through the end of 2018. In August of 2018, the Child Tax Credit will begin to phase out for taxpayers with incomes above $200,000 (or $400,000 for married couples).
If you have questions about whether you qualify for the Child Tax Credit or how much you can claim, please consult a tax professional.
What is the Child Tax Credit?
The Child Tax Credit is a credit for qualified expenses related to the care of a dependent child under the age of 17. The credit is worth up to $2,000 per child and is refundable, meaning if the credit exceeds the taxes you owe, you’ll receive the difference as a tax refund. The credit is available for tax years 2018 and 2019. For 2020 and beyond, the credit is increased to $2,000 per child and made fully refundable.
Who is Eligible for the Child Tax Credit?
To qualify for the child tax credit, the child must be under age 17 and must have a Social Security number. Also, the child must be a U.S. citizen or resident alien, and must not provide more than half of their own support.
To receive the credit, the child’s parent or guardian must claim them as a dependent on their federal tax return.
How Much is the Child Tax Credit?
The Child Tax Credit is a tax credit worth up to $2,000 per child under age 17. The credit is $1,400 of that total for children under age six. The IRS will begin issuing the credit in August 2021. If you have questions about the credit or need help filing your taxes, contact the IRS at 1-800-829-1040.
When is the Child Tax Credit Coming in August?
The child tax credit is a refundable tax credit that helps families with the costs of raising children. The credit is worth up to $2,000 per qualifying child.
Families can begin claiming the child tax credit in August of 2018. The credit will be paid out in monthly installments, starting in July of 2019.
To qualify for the credit, families must have a total income of less than $110,000 per year. Families with incomes above this level will still receive a partial credit.
How to Claim the Child Tax Credit
The Child Tax Credit is a benefit for taxpayers who have children under the age of 17. The credit is worth up to $2,000 per child, and it can be used to reduce your overall tax bill. In order to claim the credit, you will need to fill out a tax return and provide information about your children.
The credit is not available for children who are claimed as dependents on another taxpayer’s return. Additionally, the credit phases out at higher income levels. For 2020, the phase-out begins at $75,000 for single filers and $110,000 for joint filers.
The Child Tax Credit is a refundable tax credit that helps families with children offset the cost of raising a child. The credit is worth up to $2,000 per child, and families can receive up to $1,400 of that amount in the form of a refundable tax credit. The credit is available for children under the age of 17.
The Child Tax Credit is scheduled to be paid out in August 2020. However, the credit may be paid out earlier if Congress passes legislation to expedite the payment.