How does the advance Child Tax Credit affect my taxes?
How does the advance child tax credit affect my refund
The majority of individuals who need to repay excess advance Child Tax Credit payments will satisfy that balance through a reduction in their expected federal income tax refund. However, if you owe a balance in excess of your refund, the IRS routinely works with taxpayers who owe amounts they cannot afford to pay.
What if I received the advance child tax credit
What is the Advance Child Tax Credit In 2023, families are able to get 50% of the money available to them sooner through monthly advance payments of the Child Tax Credit. To receive the other half of the money, families must file their 2023 tax return in 2023.
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What happens if I don’t claim advance child tax credit
If you took neither action, you may need to repay to the IRS the amount of advance Child Tax Credit payments you received that are based on that child when you file your 2023 tax return. This is because a qualifying child is one who lives with you for more than half the year, among other factors.
Who should claim the advance child tax credit
Any individual that does not turn 18 before January 1, 2023 and who meets all of the following criteria: The individual is the taxpayer's son, daughter, stepchild, or an eligible foster child, brother, sister, stepsibling, half-sibling, or a descendant of any of them (ex. grandchild, niece, or nephew);
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Do I have to pay back the advance child tax credit
Excess Advance Child Tax Credit Payment Amount: If you received a total amount of advance Child Tax Credit payments that exceeds the amount of Child Tax Credit that you can properly claim on your 2023 tax year, you may need to repay to the IRS some or all of that excess payment.
Will the IRS take my child tax credit for back taxes
No. Advance Child Tax Credit payments will not be reduced (that is, offset) for overdue taxes from previous years or other federal or state debts that you owe.
Do I have to claim the child tax credit on my taxes
Filing your state tax return is required to claim this credit. You must claim YCTC on the 2023 FTB 3514 form, California Earned Income Tax Credit, or if you e-file follow your software's instructions. You may claim YCTC for tax year 2023 forward by filing or amending your state income tax return.
What does 8812 mean on tax return
Use Schedule 8812 (Form 1040) to figure your child tax credits, to report advance child tax credit payments you received in 2023, and to figure any additional tax owed if you received excess advance child tax credit payments during 2023.
Do you have to pay back advance Child Tax Credit
Excess Advance Child Tax Credit Payment Amount: If you received a total amount of advance Child Tax Credit payments that exceeds the amount of Child Tax Credit that you can properly claim on your 2023 tax year, you may need to repay to the IRS some or all of that excess payment.
Will the IRS take my Child Tax Credit for back taxes
No. Advance Child Tax Credit payments will not be reduced (that is, offset) for overdue taxes from previous years or other federal or state debts that you owe.
Will the IRS offset my refund 2023
(updated May 16, 2023) All or part of your refund may be offset to pay off past-due federal tax, state income tax, state unemployment compensation debts, child support, spousal support, or other federal nontax debts, such as student loans.
Why is TurboTax asking for 8812
You'll use Form 8812 to calculate your Additional Child Tax Credit.
Why is Schedule 8812 required
Introduction. Use Schedule 8812 (Form 1040) to figure your child tax credit (CTC), credit for other dependents (ODC), and additional child tax credit (ACTC). The CTC and ODC are nonrefundable credits. The ACTC is a refundable credit.
What to expect 2023 tax refund
The IRS has announced it will start accepting tax returns on January 23, 2023 (as we predicted as far back as October 2023). So, early tax filers who are a due a refund can often see the refund as early as mid- or late February. That's without an expensive “tax refund loan” or other similar product.
What are the IRS tax changes for 2023
For single taxpayers and married individuals filing separately, the standard deduction rises to $13,850 for 2023, up $900, and for heads of households, the standard deduction will be $20,800 for tax year 2023, up $1,400 from the amount for tax year 2023.
What is the 8812 additional Child Tax Credit
What is the Child Tax Credit/Additional Child Tax Credit (8812) Beginning in 2023: The child tax credit is reverting to the previously used non-refundable credit of up to $2,000 which may reduce your tax liability for each qualifying child listed on your return.
Why is TurboTax asking for schedule 8812
To claim the Additional Child Tax Credit, you need to complete Schedule 8812 and attach it to your Form 1040 or Form 1040-SR. But don't worry about memorizing all of the rules and limitations for claiming this credit. Let an expert do your taxes for you, start to finish with TurboTax Live Full Service.
Why is TurboTax asking for Form 8812
If you do not qualify for the advanced Child Tax Credit payments based on your dependents or income amount, you may need to pay all or a portion of the payments back. The excess you received is reported on Form 8812, Line 29 and is based on your entries in the program.
When can I expect my tax refund with child tax credit 2023
The IRS expects most EITC/ACTC related refunds to be available in taxpayer bank accounts or on debit cards by February 28, if they chose direct deposit and there are no other issues with their tax return. However, some taxpayers may see their refunds a few days earlier.
When can you expect tax refund 2023
Estimated 2023 IRS Income Tax Return Chart
| IRS Accepts an E-Filed Return By: | Direct Deposit Sent (Or Paper Check Mailed 1 week later): |
|---|---|
| Jan. 23, 2023 | Feb. 3 (Feb. 10)** |
| Jan. 30, 2023 | Feb. 10 (Feb. 17)** |
| Feb. 6 | Feb. 17 (Feb. 24)** |
| Feb. 13 | Feb. 24 (Mar. 3)** |