Julia Anderson
Child tax credits in the past were limited to people whose income was high enough to owe taxes to the government. That has now changed due to the nearly $2 trillion coronavirus relief package. As part of the package, President Joe Biden increased child tax credit payments. Those with children under 6 could get up to $300 per month per child, totaling $3,600 per year. Those with children 6-17 could get up to $250 per month per child, totaling $3,000 per year.
The newly increased monthly payments totaling $90-plus billion started going out to families last July. If you have already received them, there is great news: You could have six more monthly payments on the way. If you haven’t received any child tax credit payments yet, don’t fret, as you could get even more than six months’ worth of money, as the government stated that there is $193 billion in child tax credits that are still unclaimed. Once this unclaimed cash is distributed, many families will get an instant bill-paying boost.
2023
Tax Forgiveness
We know how challenging it can be to pay off your tax debt.
The IRS just announced the 2023 Fresh Start Program, to qualify more people for tax relief!
What’s the key to receiving this money? Filing a tax return, as it will be used to determine whether you are eligible for the child tax credit.
Qualifying For The Child Tax Credit
It is estimated that nearly 36 million households received the last of the six child tax credit payments in December 2021. If you were not one of them, here are the eligibility essentials:
- If you file a joint tax return as a married couple, you can qualify if your adjusted gross income in 2021 was less than $150,000.
- If you file a tax return as a single-filer parent, you can qualify if your adjusted gross income in 2021 was less than $75,000.
Once again, the key to claiming your child tax credit cash is filing a tax return, even if you are not used to doing so. Without that return, the IRS will not be able to tell if you officially qualify.
There is plenty of confusion surrounding the child tax credit for several reasons. The biggest is that the IRS revealed that many households received incorrect information on their Letter 6419, 2021 advance CTC notice. This critical notice was distributed to households to let them know more about the advance payments, plus tax information.
If you never received this letter or are unsure why you have not received any payments, visit this link. It will tell you how much you should have received, so you know exactly where you stand.
How To File Taxes For Free
Since filing taxes is essential to receive the child tax credit, here are some ways that you can get the job done at no cost:
- Visit MyFreeTaxes.com to get a free filing if you made less than $58,000.
- Go to GetYourRefund.org to file for free if you made less than $66,000.
Get those taxes filed by the April 18 deadline, and you should be good to go. And if you want to learn more about child tax credit eligibility, visit this page.
