IRS Releases Further Refunds for the Child Tax Credit for the Tax Year 2024
The Internal Revenue Service (IRS) has declared that taxpayers who opted for early filing and claimed the Earned Income Tax Credit (EITC) or Additional Child Tax Credit (ACTC) will receive their refund on February 27, 2024. The IRS is only able to process refunds for taxpayers who claimed these credits by the middle of February because of the PATH federal statute.
From February 17, those who claimed the ACTC or EITC could check the status of their refund by visiting the IRS website or using the IRS2Go mobile app. In order to qualify for the ACTC refund, taxpayers must fulfill certain requirements, such as having a child under the age of 17 and having a modified gross income of $200,000 or less (or $400,000 if filing jointly with a spouse).
The maximum tax credit amount for families eligible for the ACTC is $2,000 for each qualifying child. Taxpayers should anticipate paying $1,700 for each eligible child in 2024, up from $1,600 in 2023. If a bipartisan bill is passed by the Senate, the amount could be increased even further.
In each tax year between 2023 and 2025, the bill states that the child tax credit refund will rise from $1,800 to $2,000. The modified amount will be paid to taxpayers who have already submitted their tax returns with child tax credits if the law is passed.
Taxpayers can use the IRS2Go app or the official IRS website to follow the progress of their return by clicking the “Check your Refund” option. If there is a delay in the refund, the IRS will send the taxpayer a letter or email to let them know that the application needs to be corrected or undergo additional scrutiny.
In order to collect full benefits from the IRS under the new child tax credits, taxpayers who are waiting for the law to pass should complete their tax returns as soon as possible and claim child tax credits.