is now 
If you have kids, you have tax breaks, maybe more than you know. In 2015, Congress passed “Tax Extenders” legislation and within it were three permanent extensions related to children. These tax breaks are out there to be taken, so we are providing a summary version to help you determine if you can use them.
The $1,000 child tax credit that so many taxpayers claim, and even count on, is not going to reduce or disappear. Having survived through extensions since the amount was set in 2003, it will now always be $1,000 per child.
It will help to know the following information for the next child-related benefit: A 2009 refundable credit of 15% of earned income in excess of $3,000 was slated to jump to a qualifying amount of $10,000 in 2017. Not any more—the $3,000 threshold has also been made permanent, providing extra help for millions of families.
Have kids in college? Once again there’s “forever” help, as related credits have been ensured and thresholds lowered through the Enhanced American Opportunity Tax Credit extension. Taxpayers can count on a $2,500 tax credit for four years of post-secondary education, instead of the $1,800 credit that would have taken place in 2017. Lower qualifying thresholds would have also happened in 2017, and now they will stay at $80,000 (single) and $160,000 (married, filing jointly).
And, did you know that there are other child credits in the tax system that you might qualify for like child and dependent care expenses and even summer day camps? If you didn’t, be assured that we do and are ready to help you see if you qualify.
If you need more information, please contact one of our tax preparation experts at McRuer CPAs.
