How Much Money Will Your Family Get From the September Child Tax Credit? – Revadvert
Who is eligible for the child tax credit?
The child tax credit, otherwise known as the “child tax credit, is a credit that is available to qualified working parents or non-working parents of children under age 17.
The credit can be applied against either the first or second $1,000 of qualified expenses for a single child or the first $1,400 for a married couple with two children. The limit is $1,000 per child for the 2018 tax year, but the phase-out for qualifying expenses begins to phase out at $200 for the first $1,000 in expenses and $400 for the second $1,000. This means that the maximum credit for a single child or a married couple with two children is $2,000, $2,400, and $2,700, respectively.
The maximum credit increases to $2,000, $2,400, and $2,900 for the following tax years.
What is the maximum amount of money you can claim per child?
The Child Tax Credit, also referred to as the Child Tax Credit, is a tax credit that is equal to a percentage of your child’s qualifying dependents income and adjusted income.
If you have three qualifying children, for example, and their total income is $12,000, you can take $1,000 for each of your three children. If you have more children, you may get a larger credit. This credit is not refundable. You cannot “get it back” when you file your taxes as a dependent on your own tax return. Instead, you get a credit on your federal return, reducing your taxes by the same amount.
The maximum amount of the credit per child depends on the number of qualifying dependents you claim and the filing status of your children.
What are the major mistakes people make when submitting taxes?
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In this episode of The Motley Fool’s Industry Focus: Healthcare host Christine Harges joins Todd Campbell to talk about the tax season.
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In this segment, they discuss how much money your family stands to receive from the new child tax credit. For most families, this is a huge boon that makes filing their taxes incredibly easy.
A full transcript follows the video.
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Where can I find more information about how to qualify for this credit?
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The September Child Tax Credit Is Around the Corner
As of Jan. 1, 2019, the Child Tax Credit is double the amount that was in effect before. And some parents will be able to use it twice, if their children turn 17.
Use this calculator to figure out how much you may qualify for the 2018–2019 tax year and use this rundown of the new rules to figure out how much to expect, once you receive your 2019 tax forms.
Where Can I Find More Information About How to Qualify for This Credit?
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5 Ways to Get a Higher Tax Refund
A tax refund may be a welcome sight, but for many taxpayers, the more money they receive, the less cash they’re left with. This is where smart strategies for building wealth come in. Here are five areas to turn to for better returns.
Where can I find the form to file my taxes?
The form you will need is the IRS Form 1040 (and Form 1040A for unmarried people) or the 1040EZ. The form you need depends on how much you made last year and on how much you need to claim as a dependent. If you were married and filing separately, the form you need is the form 1040. However, if you were married and filed jointly, the form you need is the form 1040A. There is also a form 1040EZ that doesn’t require a married couple to file separately. You can use the Form 1040 to claim the child tax credit for you or your dependents.
If you were single and don’t need to claim a dependent, the only form you will need is the 1040 itself.
The amount of money your family can get from the child tax credit depends on your income, age, and how many children you have.
Conclusion
Find out how much money your family is going to receive from the Child Tax Credit when you file your taxes next year. Most families who pay federal taxes can expect to receive a pretty sizable tax refund, but even if you owe some money, there are a few things that you can do to ensure that you get the most money back possible. One of the most important things you can do to maximize your tax refund is to file your taxes early. Not only will you receive the money faster, but you’ll avoid any late fees or penalties that might otherwise apply to missing the filing deadline.
The September 2018 Child Tax Credit is also pretty significant, so if you have children and haven’t claimed the credit on your taxes yet, you might want to try to claim the amount before the end of the month.
