Do you have a child under the age of 13?
Well, there’s good news for you.
Your family could be eligible to receive a “Surprise” child and dependent care credit payment from the federal government.
Now, can you guess the amount? The surprise child and dependent credit payment can go up to $8,000. And in case, you’ve two or more children under the age of 13, your family is entitled to get $16,000 in expenses.
Note: Previously, you could only claim $6,000 for the expense of multiple children.
When received, you can use these child care funds to look after the daycare, & after-school programs, day camp & more.
If you want to receive funds up to $16,000 in the form of a child tax credit, you must belong to the working population & follow certain requirements.
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Stimulus Checks For Kids
Back in Feb 2021, & March 2021, House & Senate passed the American Rescue Plan costing $1.9 trillion to provide immediate relief to American families & commodities. And child and dependent care credit payment is part of this plan.
The additional payment of up to $8000, can help the citizens in taking care of their parents and partners, especially if they are not in a state to take care of themselves.
For the past 1 year, the COVID-19 has ruined the financial conditions of many working-class families. On top of that, it gets a bit more difficult when they’ve to pay all the bills & at the same time, take care of a child or immediate family that completely depends on them from all fronts.
If you want to get benefits out of this program, you’re open to claim all your expenses when filing for income tax returns in 2022.
Are You Eligible to Receive ‘Surprise’ Stimulus?
Who’s Eligible to Receive
- You leave your child at daycare before school. This does not include a teenager babysitting kids for a little extra allowance money.
- Your gross income is less than $125,000.
Who’s Not Eligible to Receive
- It’s not advisable to file a claim for something you’re paying off the books. This means the recipient of this payment wouldn’t be able to claim those funds.
- Families with an income of over $438,000 aren’t eligible to receive this surprise payment.
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You can’t claim these expenses until the time of filing the income tax return next year. So, in the meanwhile, it would be best to stay put & maintain the record-keeping throughout 2021.
After filling the income tax return, you would start getting the surprise child and dependent credit payments from July 15 next year.