It’s official – that’s the exact date you’ll receive your child tax credit in 2025

One of the most important resources for American families is just around the corner. We are talking about the child tax credit, which will be granted in 2025. This payment is intended to reduce the economic impact of raising children. A federal program that not only relieves you of the tax burden, but also provides direct refunds for those who qualify.

The year 2025 is full of news and millions of families will be able to claim this money, especially now that the country continues to go through a major inflation process in which prices do not stop rising and everything becomes more and more expensive. We’ll explain everything you need to know about it

When can you claim the Child Tax Credit (CTC)?

We already have a deadline for 2025 and as we already know, this credit can be claimed as soon as tax season begins. We explain it better: You must claim the CTC 2024 when you file your income tax return next year (2025), from January to April 15, the last day to file the tax return. Once you file the tax return, the IRS will issue you a judgment in less than 21 days and you will receive your refund.

How much will the refund amount be for 2024?

The confirmed amount is $1,700 per child. The same amount is taken into account for 2025 (although given political changes, it would not be surprising if this also changed in the coming years).

What are the requirements to qualify for the CTC?

These are the criteria to meet that, although they seem simple, are crucial to this process.

1. First of all, age and relationship. The child must be under 17 years of age at the end of that financial year. In addition, he or she must be in a family relationship as a child, stepchild, foster child, brother, half-brother or direct descendant (grandchild or nephew).
2. As for the question of residence, the minor must have lived with you for half the year and cannot file a joint tax return (that is, he or she must never have worked), except to withhold taxes that may be withheld.
3. On the other hand, you must also have covered half of his/her maintenance for that year. 4. Finally, the child must be a U.S. citizen (or at least a legal resident) and have a valid Social Security number.

Exceeding the salary limits imposed by the IRS could also result in a reduction or waiver of the total credit.

How do you apply for this loan?

This process is very simple and is done at the same time as you file your annual tax return. Form 1040 or 1040-SR is included with the tax return. So there you must provide the information about the children who are entitled to this payment, as well as the details necessary to calculate this credit. You will need your children’s Social Security number, proof of residency, and proof of financial support.

Once it is confirmed that you are eligible for this credit, nothing will be refunded to you, but will be deducted from the taxes you owe for that year, meaning there will be a reduction in the taxes you owe. If the amount of money is more than the taxes you owe, you will receive the refund in your bank account (the same one you provided when you filed your tax return).

Why is this loan so important for families?

Aware that we live in an increasingly expensive world where housing, health and education represent the main expenses of every family, this loan not only guarantees the coverage of our children’s basic needs, but also offers parents relief from their annual budget.

Furthermore, we are at a historic moment where birth rates are at an all-time low because life is very expensive. Therefore, this program seeks to reverse this situation by providing financial support that can encourage more families to choose to have children.

If you qualify, don’t hesitate to ask because it can make a difference in your family situation and that of your children. May our children have a good childhood and youth without realizing that the world is drowning us in inflation!