A recently uploaded explanatory article on Maxmoneyzone.com, written and published by tax preparation expert Frank Ellis, explains the IRS Child Tax Credit for 2016 . It details the potential, limitations, and options of the credit. Beginning by explaining a parent or legal guardian can take the credit for a child that’s 17 or younger, it also states the maximum credit per child, which is $1,000.
The author lists all the dependents who may qualify for the credit. Citizenship status and other requirements must be met to take the credit; there is a link provided where all of the requirements are explained. Parental income limitations are highlighted next. Bulleted income phase-out limitations include a married couple that files jointly, who would be eligible if they earn less than $110,000.
Reductions in the credit, and the increments per set amount of earnings above the threshold, are mentioned. An example is provided to clarify this point. The author also says that additional child tax credits are available if one gets a refund as a result of the original credit being applied to the tax return. Additional information is provided about this; there are two options if the child tax credit refund exceeds the taxpayer’s liability, for families with one or two children. Those with more than two children have another option, which the author explains.
Ellis also says how members of the U.S. Military, and those who’ve pain out-of-pocket childcare or adoption fees, can maximize their credits. The article concludes with a mention of filling out an EIC worksheet to find out if one qualifies for the credit, and a link to an earned income tax credit calculator.
About Frank Ellis
Frank Ellis is a Traverse City Tax Preparation Planner and published author. He has written tax and finance related articles for eight years and has published over 900 articles on leading financial websites.
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