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Deductions & credits
Thanks for your reply. However, i need a bit more clarification.
This year line 19 reads different than last year. For example, in 2020, we received 2k in line 19 as child tax credit, and after deduction from the taxes owed, the total amount came to 2000. The witheld was 4000 and we received a refund of 2000. But it appears that IRS has used a different formula. Instead of deducting from line 19, they have added up line 25a and line 28. Which resulted in line 19 being redundant and we ended up owing in 2021, i.e total tax due in line 24 is 4000 and 25a is 2800.
So, it seems the remaining 50% was more of a help from American rescue plan to ensure that we get 50% in monthly payments in advance, and that we don't end up owing taxes in 2021 filing.