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Why am I not receiving my child deduction like last year

 
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Why am I not receiving my child deduction like last year

For tax year 2022 you must have entered at least $2,500 of earned income to be eligible for the child tax credit, assuming that you have entered the children as dependent on your tax return.  The Child Tax Credit has reverted back to the original amount for tax year 2022 so it is only for a child under the age of 17 and is $2,000 for each eligible child.  Whereas in tax year 2021 the Child Tax Credit was $3,600 for a child under the age of 6 and $3,000 for a child age 6 thru 17.

Why am I not receiving my child deduction like last year

The rules for getting the child tax credit on a 2021 tax return and now on a 2022 return are very different.  For 2021 you could get $3600 for a child under 6 or $3000 for a child between 6 and 17 even if you had no income/did not work.   That is NOT the way it will work for your 2022 tax return.  The “old” rules are back.   The maximum amount of the child tax credit is now $2000; the refundable “additional child tax credit” amount is $1500.   In order to get that credit, you have to have income from working.  The credit is calculated based on the amount you earned above $2500 multiplied by 15%, up to the full $1500.  If your child is older than 16 at the end of 2022, you do not get the CTC.  But you may still get the non-refundable $500 credit for other dependents instead.

 

 

https://ttlc.intuit.com/questions/1900923-what-is-the-child-tax-credit

https://www.irs.gov/help/ita/does-my-childdependent-qualify-for-the-child-tax-credit-or-the-credit-f...

 

 

 

And for the Earned Income Credit—-the rules are back to the “old” rules—

Those under 25 and over 65 without children are not eligible as they were uniquely in 2021.   And you cannot use your income from any earlier tax year to get the EIC for a 2022 return.  There is no “lookback” for 2022.  EIC for 2022 will be based on the income you earned by working in 2022.

 

https://ttlc.intuit.com/questions/1899157-what-are-the-qualifications-for-the-earned-income-credit-e...

https://www.irs.gov/credits-deductions/individuals/earned-income-tax-credit/use-the-eitc-assistant

 

 

AND….If you have children but had no income, it raises the question of how you and the children were supported.  There may be another tax-paying adult who can claim you and/or the children as dependents. 

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

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