Jhere are many parents across the United States who may have heard of Additional child tax creditbut in this article, we’ll explain what it is and how you might receive an extra financial boost.
the expanded child tax credit program has now ended after a deal could not be reached to extend the scheme, so many parents will be wondering if there is a way to make up for the money they missed.
What is the additional child tax credit?
If you have noticed that the Child tax credit the payments you received are more than the total amount of taxes you owe, you can get a refundable credit called the Additional child tax credit.
If you find out that you qualify to receive $2,000 under the Child tax credit but be aware that your taxes are only $1,000, you will be able to include the remaining $1,000 credit on your refund.
What is the maximum amount of the additional child tax credit?
Per child, the highest amount you can receive for the Additional child tax credit is $1400. For those who didn’t need any of the Child tax creditthe 600 dollars between the 2,000 dollars for the Child tax credit and the $1,400 per child under the Additional child tax credit is lost.
Is there an income requirement?
In order to meet income requirements, you must have an earned income of at least $2,500. If your income is deemed low, your credit could be limited to 15% of the total amount reported above $2,500. Any income from unemployment and retirement compensation, or also from IRA distributions, is not considered income.