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Child Tax Credit 2022 update — Direct payments of $250 per child drop in just WEEKS – find out if you’re eligible

Child tax credit 2022: How much is it and when will I get it?
Nine states with their own child tax credit programs
Can both parents claim child tax credits?

MILLIONS can apply for a child tax credit of $250 per child, with a cap of three children.

Governor Ned Lamont signed the 2022 Connecticut Child Tax Rebate into law on May 9.

Connecticut had a whopping budget surplus of about $4billion and sent some of it back to taxpayers.

Lamont said that he expects payments to go out in August, around the start of the school year.

"I strongly urge all eligible families in Connecticut to submit an application so that the rebate can be sent to you with no delays,” he said.

Various states are offering child tax credits, including California, Idaho, Maryland, New Mexico, New York, and several other states.

Read our child tax credit live blog for the latest news and updates…

  • Jennifer Korn

    Poverty may be linked to CTC

    According to a new study published in February, the number of American children living in poverty increased considerably in January.

    This is following the end of President Biden’s enlarged child benefit at the end of last year.

    The child poverty rate jumped from 12 percent in December 2021 to 17 percent last month, according to Columbia University’s Center on Poverty and Social Policy, a 41 percent rise.

    According to the report, an extra 3.7million children are now living in poverty compared to the end of December, with the largest percentage point increases occurring among Black and Latino youngsters.

  • Jennifer Korn

    Work-mom balance

    Tatiana Austin moved to Atlanta from Chicago with her three children. With balancing work and raising her children, on top of the pandemic, Austin was struggling to keep up with her bills.

    “I have no other resources,” Austin said. “It has definitely helped with the bills I have and with rent and toiletries and buying clothes for the kids. I am definitely worried about keeping the lights on without it.”

    Although she does have a job interview lined up, Austin is not sure if it will turn the table around.

    “Not too many companies are paying too much,” shared Austin with The Washington Post.

    “Even with working, I’m going to have to pay for child care.”

  • Jennifer Korn

    Peace of mind

    With the pandemic cutting Eugenia Harper’s work hours, her monthly CTC payments were what brought her some ease.

    “It’s given us that extra help that we’re not able to get from friends or family,” shared Harper with The Washington Post.

    “It’s been a wonderful thing to have that extra little spurt of cash because you never know.”

    With the CTC not approved for extension, Harper is afraid of how she will juggle raising her children and putting food on the table.

  • Aurielle Weiss

    Arizona reveals CTC’s high success rate

    Many lawmakers in Arizona recognize the benefits that the child tax credits had on their residents.

    According to the Arizona Mirror, 92 percent of children in Arizona would benefit from CTC and millions of families feel immediate relief from rising costs.

    According to the Urban Institute, if the CTC’s monthly payments were permanent, child poverty in Arizona would decrease by almost 44 percent.

    That type of success rate is highly uncommon in social policy.

  • Aurielle Weiss

    How to avoid CTC scams

    To protect yourself, the Better Business Bureau recommends doing your research to make sure the check is real and double-check if the government agency or organization issuing the payment actually exists.

    And remember, you can check out the status of your stimulus payment and your eligibility directly with the IRS.

  • Aurielle Weiss

    Watch out for scams

    The IRS previously warned taxpayers to be on the lookout for stimulus or child tax credit-phishing scams.

    The IRS reported that attempts to con taxpayers into making a payment or handing over personal information like social security numbers rose drastically around when the new credit began to go out.

    For example, some scammers send text messages asking the recipient to click a link to receive a stimulus payment.

    Other scams included emails claiming to be from the IRS that falsely stated the recipient’s “fiscal activity” had been calculated and they were eligible for a payment.

  • Aurielle Weiss

    Child care costs rise

    Costs in nearly every sector are rising, including childcare.

    In a survey with the global poverty-fighting organization Cooperative for Assistance and Relief Everywhere, over half of the parents surveyed said that more than 20% of their household income is being spent on childcare.

    The parents said they planned to spend $10,000 on childcare this year alone.

    Additionally, the survey found that 35 percent of parents say they're less likely to have more children, with 43 percent listing the cost of childcare as a reason why.

  • Aurielle Weiss

    Racial justice organizations fighting for CTC

    In a letter to Congress, a group of more than 40 racial justice organizations pleaded for the reinstatement of the enhanced Child Tax Credit to be included in any must-pass legislation, per AS.

    If this is not done, millions of families, including over half of Black and Latino children, would be denied access to this critical lifeline.

    Among the 40 groups were the NAACP, the Economic Security Project, the National Urban League, UnidosUS, The Leadership Conference, and Community Change Action.

  • Aurielle Weiss

    Can both parents claim CTC, part two

    Divorced, separated, or unwed couples will decide which parent claims the child as a dependent each year.

    However, if parents alternate claiming each year, both parents may receive the child tax credit this year.

    If you claimed your child as a dependent in 2020 and received advance payments in 2021, you could be obligated to return those advance payments if your co-parent plans to claim the full credit on their tax return.

  • Aurielle Weiss

    Can both parents claim CTC?

    Typically, only one parent can claim a dependent on their taxes.

    However, married couples that file a joint return share the benefits and are both “claiming” the credit.

    If a married couple files separately, one parent may claim half of the child tax credits and split the benefit.

  • Aurielle Weiss

    Eligible Louisiana residents receive payments

    Residents in Shreveport, Louisiana have started receiving $660 monthly payments for a year.

    To qualify, residents in the city must be a single parent with an income 120% below the federal poverty line.

    A single parent is defined as a mother, father, stepparent, grandparent, caregiver, or legal guardian with a school-age child.

    The child must be at least three years old and less than 20 years old as of August 2021.

  • Aurielle Weiss

    New York’s guaranteed income program, part two

    Residents in the region must have a family income below 80 percent of the area’s median:

    • Household of one - $50,200
    • Household of two - $57,400
    • Household of three – $64,550
    • Household of four – $71,700
    • Household of five - $77,450
    • Household of six - $83,200
    • Household of seven - $88,950
    • Household of eight - $94,650

    Payments are now set to start in June via prepaid debit cards, according to The Ithaca Voice

  • Aurielle Weiss

     New York's guaranteed income program

    Under Ithaca’s, New York's guaranteed income program, payments worth $450 are set to go out to 110 residents for one year.

    These payments will be given to caregivers including parents.

    The city defines a caregiver as an adult that allocates “significant unpaid time” caring for a disabled or an aging child. 

    “This could be either in or out of their home,” the city said. 

    “It could include people caring for their parents or even parents caring for their child. It can include partners and stretch beyond families to include guardians, neighbors, friends, and much, much more.”

  • Aurielle Weiss

    NJ’s back-to-school sales tax holiday

    New Jersey Governor Phil Murphy announced an agreement on a back-to-school sales tax holiday as a part of the Fiscal Year 2023 Budget.

    The back-to-school sales tax holiday builds on the $2billion ANCHOR Property Tax Relief Program and will take place from August 27 to September 5.

    The tax holiday exempts the following:

    • school supplies, such as pens and pencils, notebooks, and binders
    • school art supplies, such as paints and paintbrushes, clay, and glazes
    • school instructional materials, such as reference books, reference maps, globes, textbooks, workbooks, and computers
    • school computer supplies, such as computer storage equipment, printers, and personal digital assistants
  • Aurielle Weiss

    Maryland sending residents $1,000 payments

    BaltimoreMaryland launched a program sending $1,000 a month to 200 low-income residents for two years.

    The program collaborates with local nonprofit organization CASH Campaign of Maryland and aims to help young parents.

    To be eligible, you must:

    • Be between the ages of 18 and 24
    • Be either the biological or adoptive parents, or guardians
    • Parents must have full or partial care-taking responsibilities
    • Income must be at or below 300% of the federal poverty level, which is based on household size

    For a household of four, the income level is $83,250.

    Applications closed May 9. 

  • Aurielle Weiss

    Missouri offers free summer meals

    Douglass Community Services in Missouri is offering free meals to children 18 and under.

    Stacie Nicholas, the Douglas Community Services Chief Operating Officer, said any child is eligible, no questions asked or identification needed.

    “These are all USDA-approved meals,” Stacie said.

    “So there’s always a vegetable, a fruit, a protein, usually sandwiches and milk.”

    The program will run until August 12 or when schools start.

  • Aurielle Weiss

    GOP lawmakers opposing extending School Meal Program

    House lawmakers approved the Keep Kids Fed Act, which would extend the US Department of Agriculture's child nutrition waiver authority.

    The bill is set to expire June 30 and authorizes $3billion in funding that provides healthy meals for schools and daycares as food prices soar.

    According to NPR, Senators Rand Paul and Marsha Blackburn have put holds on the proposed legislation.

    Instead, the Senators are calling to bring back the "reduced price" category of the National School Lunch Program.

  • Aurielle Weiss

    Nevada approves free breakfast and lunch for K-12

    The Legislative Interim Finance Committee approved $75million in federal pandemic funding to provide free breakfast and lunch for students K-12.

    According to the Nevada Appeal, the program comes after the federal government decided to end the program after the 2022-23 school year.

    If approved, the Agriculture Department would administer the free and reduced lunch program.

  • Aurielle Weiss

    Who qualifies for child tax credits?

    Taxpayers may claim the credit for each qualifying child under the age of 18 with a Social Security number.

    In 2022, the tax credit could be refundable up to $1,500, a rise from $1,400 in 2020 due to inflation.

    Depending on your income, you must have earned income of at least $2,500 to be eligible for the refund.

  • Aurielle Weiss

    How to apply for CTC

    To receive payments for 2022, families must wait until next year’s tax season.

    According to the IRS, you can claim the child tax credit by entering your children and other dependents on Form 1040 - your tax return.

    Additionally, attach a completed Schedule 8812, credits for qualifying children and other dependents.

  • Aurielle Weiss

    Who's eligible for CTC?

    Children must be age 16 or younger to be eligible for the support, and the modified gross income cannot exceed $400,000 on a joint return and $200,000 on a single or head-of-household return. 

    Above those incomes, a $50 decrease would apply for every $1,000 in additional income.

  • Aurielle Weiss

    Connecticut offers child tax credit

    Connecticut residents can now claim a tax rebate of up to $250 per child for a maximum of three children.

    The maximum amount for this one-time tax credit is $750 per family.

    Families must apply by July 31 in order to receive it.

  • Aurielle Weiss

    California's child tax credit

    Californian residents with low income could be eligible for California earned income tax credit (CalEITC).

    Those with children under six, could also be eligible for the young child tax credit.

    Families with earnings under $25,000 may receive up to $1,000 each, while those with income of up to $30,000 get a reduced credit.

  • Aurielle Weiss

    10 states offering additional child tax payments

    Ten states are offering credits, with the amount of tax credit and eligibility requirements differing between each state.

  • Aurielle Weiss

    IRS finishes processing tax returns this week

    The IRS announced tax returns filed during 2021 will be completed by the end of this week.

    Receiving your return depends on how you filed it.

    If there are no inaccuracies, the agency typically issues refunds in less than 21 days. Paper returns could take six to eight weeks.

    You’ll get your refund quicker by using direct deposit.

    It may take 90 to 120 days if a correction is needed to any of the following credits:

    You can check the status of your refund by using the IRS’ Where’s My Refund tool.

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