Why is my Child Tax Credit lower than my figures?

Please note that the total of your credits (not including refundable credits like EIC) can not exceed the amount of tax due. The regular Child Tax Credit is up to $3000 per child ($3600 for child ages 5 and under) . Check to be sure that the Child Tax Credit box is checked on your return next to each dependent name. That particular dependent may not qualify for Child Tax Credit. If you are [...]

What is a qualifying dependent relationship for EIC?

In general, to be a taxpayer's qualifying child, a person must satisfy four tests: Relationship: the taxpayer's child or stepchild (whether by blood or adoption), foster child, sibling or stepsibling, or a descendant of one of these. (Note: There are new rules to determine who is a foster child and when a foster child can be used to claim certain tax benefits. To claim a foster child as a [...]

What is EIC?

EITC (or EIC), Earned Income Tax Credit, is a benefit for working people who have low to moderate income. A tax credit means more money in your pocket. It reduces the amount of tax you owe and may also give you a refund. You must have earned income to qualify for this credit and there are limitations. Please refer to the instructions at www.irs.gov. [...]

What effect does receiving EIC or Additional Child Tax Credit have on welfare benefits?

Any refund you receive as a result of taking the additional child tax credit or EIC (Earned Income Credit) will not be used to determine if you are eligible for the following programs, or how much you can receive from them. But if the refund you receive is not spent within a period of time, it may count as an asset (or resource) and affect your eligibility. Temporary Assistance for Needy [...]

What is the Child Tax Credit and who can claim it?

This credit is $3000 per child ($3600 for ages 5 and under) and is for a qualifying child ONLY. A qualifying child for purposes of the Child Tax Credit is a child who: Is claimed as your dependent on your return, and Was under age 18 at the end of the tax year, and Is (a) your son, daughter, adopted child, stepchild, grandchild; (b) your brother, sister, stepbrother, stepsister, or [...]