Key Highlights of State Child Tax Credit 2024
Eligibility Criteria
- Age: Child must be under 17 years old as of December 31, 2023
- Residency: Must be a permanent resident of the U.S.; either parent or child must be a U.S. citizen
- ID Proof: Valid social security numbers for parents and children; additional ID proof required
- Relationship: Eligible for biological, step, foster, adopted children, siblings, nephews, or grandchildren
- Living Period: Must live with the child for at least half of the year
- Expenditure: Must cover at least half of the child’s financial support
- Income: Individual income under $200,000; joint income under $400,000
Application Process
- File Taxes: Submit Form 1040 and attach Schedule 8812
- Check Status: Use the IRS website (www.irs.gov) and click “Where’s my refund”
Payment Details
- Amount: $2000 one-time payment per child; monthly payments of $300 for children under 6, $250 for children aged 6-17
- Payment Duration: Monthly
- Start Date: June 2024 (1st working day of each month)
- Mode: Bank transfer
- Website: IRS (www.irs.gov)
Program Overview
- Admin: Internal Revenue Service (IRS)
- Category: Finance
- Beneficiaries: Households with children up to 17 years
Additional Information
- Increased Amounts: American Rescue Plan raised the Child Tax Credit to $3600 for children under 6 and $3000 for children under 18
- Potential Expansion: New bill may increase benefits to $4000 for families with two children and continue monthly payments pending Senate approval.
Child Tax Credit 2024 is one of the best financial programs in the United States. The government of the United States has launched this program in 2021. Approx millions of families get the financial support.
What is Child Tax Credit?
Child Tax credit is one kind of non refundable tax credit. This tax credit is only applicable to those taxpayers who have less than 17 years old children. In recent years the America Rescue Plan has decided to provide the Child Tax Credit in the Puerto Rico and United States territories. Low income people of the Puerto Rico and United States territories will get the State Child Tax Credit payment 2024. Thus, their child’s education, health and life will be improved.
Overview of State Child Tax Credit 2024:
Several regulations have changed the Child Tax Credit. The American Rescue Plan has increased the amount of the State child Tax Credit. The allocated amount for the eligible children and who are under 6 years old is $3600. In previous the amount of the State Child Tax Credit was $2000. The allocated amount for children whose age is under 18 is $3000.
| Program Name | State Child Tax Credit 2024 |
| Admin | IRS or Internal Revenue Service |
| Country | U.S. |
| State | All states |
| Category | Finance |
| Candidate | Household with the children |
| Age | Up to17 years |
| Amount | One-time payment is $2000 For the children under the age 6 is monthly $300 For the children under the age 6-17 is monthly $250 |
| Payment duration | Monthly |
| Payment date | June 2024 (1st working day of every month) |
| Payment mode | Bank |
| Official website | IRS or www.irs.gov |
Eligibility criteria of State Child Tax Credit 2024:
If you want to get the benefit of the State Child Tax Credit, you should know the eligibility requirements. Some assured taxpayers can get a limited amount of benefit. This is known as the additional state child tax credit 2024. Let’s have a look at some requirements;
Age:
- As of December 31, 2023 the age of the child should be under 17 years old. According to the end of the tax year above 18 years old is not eligible.
Residency criteria:
- For the State Child Tax Credit 2024, a residency criterion is essential. You need to be a permanent resident of the United States. Either you or your children should be a citizen of the U.S.
ID proof:
- It is essential to have a valid social security number for both parents and children. Also, the parent should have any ID proof i.e. Voter ID card, green card, passport etc. For residential proof, you can use house rent bill, electric bill etc.
Relationship with child:
- You can claim the State Child Tax Credit 2024 if you have step child, foster child, own child, sibling, adopted child etc. If you have a nephew or grandchild you are also eligible to claim legally.
Period of living:
- State Child Tax Credit is only eligible to those who are staying with children for half of the year.
Expenditure:
- Make sure that you are paying half of the expenditure of your children. The expenditure should be for the financial year when you claim the tax.
Dependency:
- The child must be dependent on you. It needs to show on your tax return.
Income:
Individual
- There is a specific Modified Adjusted Gross Income or MAGI set for the individual taxpayer. If you are single then your incomeshould be under $200,000.
Married couple:
- For the married couple who filed jointly, income of both should be under $400,000.
Facts check about State Child Tax Credit:
Approx 45 million people are getting benefits through the State Child Tax Credit. There is some important news about the State Child Tax Credit 2024. Let’s have a look,
- The new addition of 2024 will be grateful to Individual. If you are submitting the taxes, you will get the $2000. This extra $2000 will be for each eligible child whose age is under 17.
- According to the Internal Revenue Service or the IRS or the Internal refund must be provided to the accounts. Sometimes refund process takes too much time. Some people file on the paper. In this case a refund takes a long time.
How to claim and check status of Child Tax Credit:
Claiming process:
If you find that you are eligible then you can claim the State Child Tax Credit. First of all, you should file a federal tax return which is Form 1040. With your tax return you should attach the Schedule 8812. This Schedule 8812 is known as “Credits for Qualifying Children and Other Dependents.” While doing this you can understand the credit amount. Also, you will know the amount of partial refund.
Status checking process:
- Visit the official website IRS or www.irs.gov
- After opening the site, click on the “Where’s my refund” button.
- Then input your social security number.
- Then you will find some options. You should click the proper tax year to know the status.
Possibilities of increase of the Child Tax Credit:
According to news, it is clear that the House of Representatives has passed the expansion of the Child Tax Credit. If you apply before 15th April 2024 then only you can get the benefit. Still there is no further announcement from the Senate. Also, the voting date of the Senate is not scheduled.
The House of Representatives added several modifications in this new proposed bill. The taxpayer can calculate the Child Tax credit based on current or coming year income. Apart from that many changes are still awaiting.
Families with the two children will get the benefit of $4000. It may happen according to the new bill. Like 2021, the IRS will again distribute the credit amount monthly basis. If it will happen then people will get a lot of benefits again.