Under current law, the maximum refundable child tax credit for a taxpayer is computed by multiplying that taxpayer’s earned income (in excess of $2,500) by15 percent.
This provision modifies the calculation of the maximum refundable credit amount by providing that taxpayers first multiply their earned income (in excess of $2,500) by 15 percent, and then multiply that amount by the number of qualifying children.
This policy would be effective for tax years 2023, 2024, and 2025
Under current law, the maximum refundable child tax credit is limited to $1,600 per child for 2023, even if the earned income limitation described above is in excess of this amount.
This provision increases the maximum refundable amount per child to $1,800 in tax year 2023, $1,900 in 2024, and $,2000 in tax year 2025.
Call your local tax professionals with any questions or help filing your taxes. Call 814-333-2488 or email us at info@meadvilletaxservice.com
