$1,400 Per Child & $3,600 Per Year CTC Payments in December 2024 – Check Deposit Dates

$1,400 Per Child & $3,600 Per Year CTC Payments in December 2024: As 2024 draws to a close, many families are wondering if they’ll be receiving special Child Tax Credit (CTC) payments in December. The Child Tax Credit has been a key form of financial relief for families in recent years, especially after the enhancements brought by the American Rescue Plan in 2021. So, what’s in store for 2024? Will you be seeing those $1,400 per child or $3,600 per year payments in your account this December? Let’s break it all down and make sure you understand what’s going on.

In this article, we’ll provide context on the CTC, explain the eligibility criteria, highlight any changes to the program, and give practical advice on how to manage and optimize your benefits. Whether you’re a parent looking to make the most of your tax benefits or a professional needing a clearer understanding of how these payments work, this guide has everything you need.

$1,400 Per Child & $3,600 Per Year CTC Payments in December 2024

The Child Tax Credit remains an essential form of support for families, but it’s important to understand the current structure in 2024. While the expanded benefits from 2021 are no longer in place, you can still benefit from a $2,000 credit per child, with a $1,400 refundable portion. Keep in mind the eligibility requirements, and be sure to file your taxes on time to maximize your benefits.

If you’re unsure about your eligibility or need help filing your taxes, consider consulting a tax professional to ensure you’re taking full advantage of the available credits and refunds.

What is the Child Tax Credit (CTC)?

The Child Tax Credit is a tax benefit offered by the U.S. government to help families with the cost of raising children. This credit reduces the amount of taxes you owe, and in some cases, it can even result in a refund if you owe less in taxes than the amount of the credit.

Over the past few years, this credit has gone through several important changes. In 2021, the American Rescue Plan (ARP) temporarily increased the CTC to provide even more relief to parents. The credit was expanded to $3,600 per child for children under the age of 6, and $3,000 for children aged 6 to 17. Additionally, payments were made monthly, rather than only at tax time, to help families with immediate expenses.

These changes made a huge difference for many families, especially during the difficult economic conditions caused by the COVID-19 pandemic.

How is the Child Tax Credit Structured in 2024?

While the expanded CTC was a welcome change for many, the American Rescue Plan enhancements were temporary and expired at the end of 2021. For the 2024 tax year, the CTC has reverted to its pre-2021 form, meaning:

• Up to $2,000 per qualifying child under the age of 17.
• Up to $1,400 per child is refundable, which means if your credit exceeds the amount of taxes you owe, you could receive the difference as a refund.

If you’re filing taxes and you’re eligible for the full $2,000 per child, you could potentially receive up to $1,400 as a refund, even if you didn’t owe any federal income tax.

Who is Eligible for the $1,400 Per Child & $3,600 Per Year CTC Payments in December 2024

To qualify for the Child Tax Credit, families must meet certain income and age requirements:

1. Income Limits:
   • For single filers, the credit begins to phase out at an income of $200,000.
   • For married couples filing jointly, the phase-out begins at $400,000.
2. Age Requirements:
   • The child must be under 17 years old by the end of the year.
   • The child must be related to you (e.g., biological, adopted, stepchild, or foster child).
   • The child must live with you for at least half of the year.
3. Other Requirements:
   • The child must be a U.S. citizen, U.S. national, or U.S. resident alien.
   • The child must have a valid Social Security number.

What About the $1,400 and $3,600 Payments?

There has been some confusion about $1,400 per child and $3,600 per year payments for December 2024. While these amounts were part of the temporary ARP expansion, they will not apply in December 2024.

Here’s why:

• The $1,400 payment amount was part of the stimulus checks provided by the federal government in 2021, not the Child Tax Credit.
• The $3,600 amount was the enhanced CTC in 2021 for children under 6, and $3,000 for children aged 6-17. Since this enhancement ended in 2021, families will not see these amounts in 2024.

For 2024, as mentioned earlier, families can expect up to $2,000 per child, with a refundable portion of up to $1,400, depending on their tax situation.

How Are CTC Payments Made?

The IRS typically processes Child Tax Credit payments after the tax filing season begins, which usually starts in January or February. However, it’s important to note that you won’t receive your CTC payments automatically in December unless you are filing your taxes for the year.

Here’s a breakdown of how payments work:

1. Tax Filing: You must file your taxes for the 2024 tax year (due by April 15, 2025) in order to receive your CTC.
2. Refundable Portion: If the credit exceeds the amount of taxes you owe, you may receive the excess as a refund. This will be issued once your taxes are processed.
3. Direct Deposit: Most refunds, including the CTC, will be sent via direct deposit to your bank account, provided you have filed your taxes electronically and included your bank details.

Practical Tips for Maximizing Your CTC Benefits

1. File Your Taxes Early: The earlier you file, the sooner you’ll receive your refund if you’re eligible for the CTC. Filing electronically also speeds up processing times.
2. Double-Check Eligibility: Make sure all children listed on your return meet the IRS eligibility criteria, including age and residency.
3. Update Your Information: If you’ve moved or changed bank accounts, ensure that your tax records are up-to-date with the IRS.
4. Keep Track of Your CTC: If you receive payments over the course of the year (from previous enhancements), keep track of how much you’ve received to avoid errors when filing.
5. Consult a Tax Professional: If you have complicated financial circumstances (such as self-employment, multiple dependents, or prior tax issues), it’s always a good idea to seek advice from a qualified tax professional.

How to Prepare for the $1,400 Per Child & $3,600 Per Year CTC Payments

Even though the enhanced payments from 2021 are no longer in place, you can still make sure you’re getting the full benefit of the Child Tax Credit for 2024 by preparing your financial records properly:

1. Gather Necessary Documents: You’ll need your child’s Social Security number, your income details, and any other tax documents related to dependents.
2. Verify Your Bank Account: Ensure that the IRS has your correct bank account information for direct deposit of any refund you might be eligible for.
3. Review Your Filing Status: Make sure you are filing under the correct status, as your filing status (single, married, head of household) will affect your eligibility for the full credit.

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FAQs about $1,400 Per Child & $3,600 Per Year CTC Payments in December 2024

1. Will the $3,600 payments return in December 2024?

No, the $3,600 payments were part of the temporary 2021 expansion and will not return in 2024. The current Child Tax Credit is up to $2,000 per child, with a refundable portion of up to $1,400.

2. How do I know if I’m eligible for the Child Tax Credit in 2024?

Eligibility depends on factors such as your income, your child’s age, and whether the child meets other IRS criteria. You can visit the IRS Child Tax Credit page for full details.

3. When will I receive my CTC payment?

CTC payments are generally issued after you file your taxes for the 2024 tax year. If you’re eligible for a refund, it will typically be issued within 21 days after the IRS processes your return.

4. Can I claim the CTC if I don’t owe taxes?

Yes, the CTC is partially refundable. If you don’t owe taxes, you can still receive up to $1,400 per child as a refund.

5. Can I still get the Child Tax Credit if I am self-employed?

Yes, self-employed individuals can claim the CTC if they meet all other eligibility requirements. The credit is based on your income, so even if you are self-employed, as long as your income falls below the threshold and you meet the other criteria, you can claim it.