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What Is The 2013 Child Tax Credit & Additonal Child Tax Credit?

What Is The 2013 Child Tax Credit & Additonal Child Tax Credit?

The 2014 tax season is here and you may be wondering what federal tax credits you’re eligible for on your 2013 taxes.

If your children are under 17, don’t forget to claim the 2013 child tax credit. The credit allows up to $1000 (per qualifying child), to be subtracted from the income tax you owe. If you are taking the 2013 child tax credit, you may be able to claim the additional child tax credit and receive a tax refund.

If you qualify for the child tax credit, you can claim it and avoid the hassle of extra paperwork (which often goes along with claiming it), by filing your taxes on RapidTax.

What is the Child Tax Credit and Who Qualifies?

The child tax credit is a federal tax credit up to $1000 per child, for individuals with a qualifying child (or children), under age 17. To receive the child tax credit, you must meet six requirements, provided by the IRS.  The requirements to claim the 2013 child tax credit are as follows;

  1. The credit may only be for a qualifying child.
  2. The child must have been 16 years old or younger at the end of 2013.
  3. You must provide at least half of the child’s support.
  4. You must claim the child as your dependent on your federal taxes.
  5. The child must be a U.S. citizen, U.S. national or U.S. resident alien.
  6. The child must have lived with you more than half of 2013.

What is the child tax credit phase out?

If you meet the requirements (listed above), the 2013 child  tax credit amount can be up to $1,000 per child. Don’t get too excited about the extra $1000, the total amount you can claim depends on your modified adjusted gross income, meaning there are income phaseouts.

To make life easier, RapidTax has created an income phase out chart to refer back to when filing your 2013 taxes. The charts below explain the income child tax credit phase outs (income levels above the stated, receive a smaller child tax credit) along with the child tax credit amounts, based on how many children you are claiming.

2013 Child Tax Credit

What is the additional child tax credit? Can I get a refund?

The additional child tax credit is any child tax credit amount which is refunded, due to the credit being excess to a person’s tax liability. Basically, if you want to take the child tax credit and realize you don’t have any tax due, you will instead tax the additional child tax credit (and receive a refund). The table below will help you understand the 2013 child tax credit you’ll receive this year.

2013 Additional Child Tax Credit

Filing your taxes and claiming the child tax credit doesn’t necessarily have to be a complicated process. Claiming the child tax credit 2013 is straightforward and simple when filing your taxes on RapidTax. Tax season 2014 is here, file today!

1/30/2014

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This entry was posted on Thursday, January 30th, 2014 at 2:19 pm and is filed under Tax Tips, Uncategorized.

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