The Child Tax Credit (CTC) is a key way the U.S. helps millions of families with kids by providing financial support.
In this article, we’ll explore the latest news about Latest Child Tax Credit Payment Updates: New Increases, $300 Monthly Payments & Eligibility Criteria
Latest Child Tax Credit Payment Updates
The Child Tax Credit is a government program aimed at assisting low-income families with children. For 2024, it still provides substantial support, with amounts based on the age of the child.
Families with kids under six can get up to $3,600 per child, while those with kids aged 6 to 17 can receive up to $3,000 per child. This boost is thanks to the American Rescue Plan Act, which increases the financial help available to families.
On January 19, 2024, the House Ways and Means Committee approved the Tax Relief for US Families and Workers Act of 2024, which could lead to an increase in the Child Tax Credit (CTC). Right now, the CTC is $2000 per child, with $1600 of that being refundable.
Major Changes for SSI & SSDI Benefits Announced by Social Security: Understand the Impact & Maximum Benefits
This refundable part of the credit is expected to grow: $1800 in 2023, $1900 in 2024, and $2000 in 2025.
In addition, thanks to the American Rescue Plan, President Joe Biden has announced that families could get $300 monthly payments through the CTC.
This program aims to provide steady and equal support to all eligible households, focusing especially on those in greater need.
Payment Dates
The CTC is a tax credit that helps lower what you owe on your taxes, and you can get it back as a refund. Payments come in every month, usually on the 15th. For 2024, you can expect payments on August 15, September 15, October 15, November 15, and December 15. Just keep in mind these dates could change.
To qualify, you’ll need to fill out Form 1040 with Schedule 8812 and meet certain criteria about your child. You’ll also need to provide some documents for verification. Once everything is checked, you’ll get a confirmation from the authorities.
Eligibility
To qualify for the Child Tax Credit (CTC), here’s what you need to know:
- Age: The child must be under 18, so the claimant should be 17 or younger.
- Income: If your family income is over $400,000 for married couples or $200,000 for singles, you won’t qualify.
- Earnings Contribution: You must be responsible for more than half of your earnings.
- Residency and SSN: You need a valid Social Security number and must have lived in the U.S. for more than half of the year.
- Joint Returns: You cannot file a joint return with a spouse.
These rules help ensure the CTC goes to families who need it most, offering significant support to those who qualify.
Summary
In 2024, the American government is improving the Child Tax Credit (CTC) to give financial help to families in need. You can use the IRS’s online CTC calculator to figure out how much you might receive based on your situation.
If you don’t qualify for the CTC, you might still be able to get the Additional Child Tax Credit (ACTC), which provides refunds.
To be eligible for the CTC, you need to have earned at least $2500 from work or self-employment. For updates on payment dates and other details, check the official IRS website.
Keep up with the latest information and make sure to use the Child Tax Credit to help with your finances.