If you have already filed your taxes by the April 15 deadline, you can now relax and begin looking out for your child tax credit money. If it has been more than 21 days since you filed with the IRS, it may be a good idea to check the status of your tax return online. The child tax credit and earned income tax credit can cause a delay in receiving your refund, as the IRS could not start sending tax refunds to those claiming these credits until the middle of February at the earliest. With various updates surrounding the child tax credit this year, including 16 states with their own credit and Congress working on an expanded credit, it is important to understand when you can expect your refund if you are claiming a credit.
The child tax credit is a tax benefit that families can receive if they have qualifying children, with the amount up to $2,000 per child. However, only a portion of this credit is refundable, meaning that if the full amount is not used to offset taxes owed, the excess may not be refunded. The refundable part of the child tax credit is known as the additional child tax credit, with the refundable amount for this year being $1,600. For early filers, the IRS has indicated that most child tax credit and earned income tax credit refunds should be available in bank accounts or on debit cards by Feb. 27 for those who have filed and opted for direct deposit, with no other issues on their return.
The IRS is unable to issue refunds involving the additional child tax credit and earned income tax credit before mid-February due to regulations aimed at preventing fraudulent refunds. If you have not received your refund yet and are claiming the credit, you can check your projected deposit date by using the IRS’ Where’s My Refund tool. It is advised to file your taxes as soon as possible to avoid any delays and to submit your tax return to the IRS for free. Keeping track of your tax return status and refund timeline can help you stay informed and manage your finances effectively.
CNET’s Taxes 2024 coverage provides information on the best tax software, tax tips, and everything needed to file returns and track refunds. Understanding the child tax credit and additional child tax credit can help families maximize their tax benefits and manage their finances better. It is essential to be aware of potential delays in receiving tax refunds, especially when claiming credits that require additional processing time. By staying informed and proactive in checking the status of your tax return, you can ensure timely receipt of any refunds owed to you.
The child tax credit and earned income tax credit play significant roles in reducing tax liabilities for families with qualifying children. Knowing the refundable portion of the child tax credit and understanding the timing of when to expect your refund can help you plan your finances accordingly. With updates and changes to tax laws, it is important to stay informed and seek guidance on filing taxes correctly to maximize your benefits. By utilizing resources like the IRS’ tools and tracking systems, you can stay on top of your tax responsibilities and ensure a smooth filing process.
