The child tax credit is the most significant change that has occurred to tax laws in 2020 and provides parents with $3,000 for every child under the age of 17 in their household. $3,600 is provided for every child under the age of six. You can also be eligible for an advance or even obtain monthly payments of $250 to $300 per month. The changes include lower AGI caps for those who file as a single adult and earn up to $75,000, $112,500 for those who are the head of the household, and up to $150,000 for married couples.
How you’re impacted by recent changes to 2020 taxes
The new stimulus child tax credit allows for more households to qualify and is fully refundable. In recent years, the tax law has allowed parents to receive $2,000 for every child under the age of 18 in their household. In 2020, it increased to $3,600. The stimulus package is designed to allow more low-income families to benefit. If you want to obtain periodic payments, you’ll be required to file tax returns for 2020 and 2021. It also works to temporarily enhance food stamp benefits and unemployment.
Who can you contact for legal assistance?
Contact an attorney with experience in tax law if you need representation with a case involving the IRS. You can also reach out to a legal professional if you need assistance with tax preparation or want to set up installment agreements with the benefits you’re entitled to as a parent. Legal professionals can even assist in dealing with cases if you’re audited by the IRS. You can learn more about tax law and become more educated while using a professional to prepare your tax return as an individual or business. You can also obtain services for setting up trusts and estates.