((((KTLA) – The tax filing deadline for 2021 is still a few months away, Tuesday IRS We encouraged taxpayers, especially those who may need to take action on certain payments from the federal government, to start ahead of their return preparations.
According to the authorities, these include both popular economic effect payments and advance child tax credits.
Let’s see what the IRS wants taxpayers to know about both programs.
Payment of economic effects
The third and final rounds of the federal stimulus check began in March, but some qualified people received nothing or less than the full $ 1,400. bottom.
Those who believe they are eligible for credit will usually need to file their 2021 tax return first, whether or not they file it. You also need to report the amount you received in the third stimulus check. Plus up payment — To understand how much they owe.
“Ensuring that they use the correct payment amount will help them avoid processing delays that may delay their refunds,” the IRS says.
(Note: IRS information only affects federal stimulus checks, not anything sent from states such as California.)
Payment of child tax credit
NS Prepaid child tax credit Beginning in mid-July to tens of millions of eligible households, payments will be made in installments up to 6 times each month until the end of 2021. (The final payment will be made on December 15th.) The family received up to $ 300. $ 250 per child under the age of 6 and $ 250 per child between the ages of 6 and 17.
However, according to the IRS, some people are more than actually eligible this year, as the amount is primarily based on the 2019 or 2020 tax returns (the latest in the IRS record). You may have acquired it more or less.
Those who collect too much may need to repay some or all of their down payments, federal agencies say. Conversely, those who do not receive the appropriate amount can claim the remaining amount when filing a 2021 tax return.
Only the first 6 months of the child tax credit were prepaid, so the second half will be billed in the 2021 tax return. Some parents will be able to completely opt out of prepayments and claim the amount payable as a one-time lump sum payment.
Finally, “The family who received the prepayment Prepaid child tax credit According to the IRS website, in 2021 we have received a child tax credit that can be properly claimed in the 2021 tax return.
(For details on the two adjustments, see here.. )
IRS created Special page For taxpayers outlining actions taken to simplify the filing process next year.
The IRS has tax information on stimulating checks and child tax credits
Source link The IRS has tax information on stimulating checks and child tax credits