Biden Expands Child Tax Credit Stimulus, Up to $8,000 in Your Pocket!
The American Rescue Plan President Biden signed into law in March will give millions of Americans with children an $8,000 tax credit. This is not a deduction, these are real dollars.
President Biden's American Rescue Plan Act has been a blessing for many American households, but there's more money on the way!
The enhanced child and dependent care credit for 2021 will be putting even more money in the hands of Americans in the form of a 2021 tax refund.
The additional money is not part of the Federal Child Tax Credit which averaged about $3,300. The American Rescue Plan with the enhanced child and dependent care credit is totally different. If you have received benefits from the Federal Child Tax Credit, you will still be eligible for the new tax credit worth up to $8,000. The additional tax credit is only for 2021. So get it while you can.
Instead of up to $3,000 in expenses for one child and $6,000 for two or more, the American Rescue Plan Act allows the credit for up to $8,000 in expenses for one child and $16,000 for multiple kids. When combined with the 50% maximum credit percentage, that puts the highest credit amount available for this tax year at $4,000 if you have just one child and $8,000 for two or more children. -Kiplinger.com
In addition to the American Rescue Plan Act's $8,000 tax credit, many American families will receive additional stimulus payments on July 15, 2021, under Biden's child tax credit expansion plans.