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Why does my deductions and credit section claim I get $4000 for both kids together but it doesn't reflect in my refund
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April 5, 2020
11:29 AM
last updated
April 05, 2020
11:29 AM
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Why does my deductions and credit section claim I get $4000 for both kids together but it doesn't reflect in my refund
It is not a refundable credit. You don't get it as a refund. It reduces your tax. You can see it on Line 13a, Form 1040.
April 5, 2020
11:45 AM
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Why does my deductions and credit section claim I get $4000 for both kids together but it doesn't reflect in my refund
The child tax credit (CTC) is limited to your tax liability. The CTC is a non-refundable credit and can only reduce your income tax to 0, It can not help you beyond eliminating your tax liability. But, if you have more than $2500 of earned income, some or all of it is usually given back to you thru the "Additional Child tax credit". That is, part of the CTC may be on line 18b of form 1040 (2019 version) instead of line 13a (lines 17 and 12 in 2018). The ACTC is calculated on form 8812 and is basically 15% of your earned income over $2500. The ACTC is a maximum of $1400 per child (not $2000).
April 5, 2020
11:58 AM
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