Child tax credit

[juliette]

I now that this has been a subject before but I have a different question. Does anyone know if they are just sending out the checks or are they mailing out a letter first. I am just excited about the extra money coming in soon.

 

[Towncrier]

We got our check and letter on the same day. You just gotta love how our US government officials think.

 

[JohnTBap]

LOL John!!! What did it say? "Behind this letter is a check."

 

[doxdogy]

From what I remember seeing on the news, they are doing it by the last two digits of your social security number. But, since I am not getting a check, I didn't pay attention to the dates. Went on the IRS website and found these dates.

Mailing Schedule for Advance Child Tax Credit Payments
For the first three weeks, the checks will be sent according to the last two digits of the taxpayer's social security number:
00-33 -- mailed July 25
34-66 -- mailed August 1
67-99 -- mailed August 8
Eligible taxpayers whose returns were not processed in time for these initial mailing dates will have their checks sent out after the IRS processes their returns.

 

[iNTeNSeBLue98]

Expecting our check to be mailed this Firday, 8/1 and received the letter yesterday (Tuesday 7/29) stating that our check for $400 would arrive within the next two weeks.

 

[dizneenut]

According to the site, our check will be mailed 8/1. I got my letter today and it said the check would be mailed in 2 weeks.

 

[luvtogo12]

I got my letter on Friday, received my check on Monday, bought a new living room set on Tuesday.

 

[CamColt]

Originally posted by JohnTBap
LOL John!!! What did it say? "Behind this letter is a check."

We got ours on the same day. The check came in one of those open envelopes where you could tell what it was and the letter came in a regular closed up envelope. Nice waste of postage.

 

[emmagata]

We don't have children. Does that mean we won't be getting a check?

I mean, some people who don't pay taxes are getting money back that I just figured that we were entitled to the child tax credit.

Don't get me wrong and that I'm trying to make those with kids feel bad. If someone is eligible for it, great. It just it boggles my mind the logic used by some who think that people who don't pay taxes should get a some sort of refund.

 

[KimR]

I hate to rain on anyone's parade, but just a warning....it is my understanding that although these checks are distributed across the board, the tax credit is based on income level so you may very well have to pay it back when taxes come due. It's not free money. Maybe I've misunderstood, and I hope I have, but I'd hate for anyone to get a nasty surprise come tax time and find out you owe an extra $800 or so (or receive $800 less on your refund).

Kim

 

[6_Time_Momma]

As I understand it, if you end up having to owe, you do not have to pay this rebate back. I believe it was the same with the previous $600 rebate/refund.

We got our letter on Sat and our check on Mon.

 

[iNTeNSeBLue98]

The only reason you'd owe any money back would be if your income changes over the next year and you didn't pay enough tax on that income.

 

[jrmasm]

It just it boggles my mind the logic used by some who think that people who don't pay taxes should get a some sort of refund.

ITA!!!

 

[browneyes]

I haven't received a letter, but a lady I work with said her dd did (her dd's check was in the first batch). On the irs website, it said a letter would be mailed to me. I figure I'll get my check before I get my letter.

 

[Steve H.]

Originally posted by emmagata
We don't have children. Does that mean we won't be getting a check?

I mean, some people who don't pay taxes are getting money back that I just figured that we were entitled to the child tax credit.

Don't get me wrong and that I'm trying to make those with kids feel bad. If someone is eligible for it, great. It just it boggles my mind the logic used by some who think that people who don't pay taxes should get a some sort of refund.

Actually, I thought the refund for low-income households got shot down a while ago? It's my understanding that families that didn't qualify for the child tax credit in 2002 (for either low or high income levels) weren't getting the checks this summer. Now, if their financial situation changes during 2003, they can take the full $1000 credit (up from $600 in 2002 -- thus the extra $400) on their 2003 tax return.

 

[Steve H.]

Originally posted by KimR
I hate to rain on anyone's parade, but just a warning....it is my understanding that although these checks are distributed across the board, the tax credit is based on income level so you may very well have to pay it back when taxes come due. It's not free money. Maybe I've misunderstood, and I hope I have, but I'd hate for anyone to get a nasty surprise come tax time and find out you owe an extra $800 or so (or receive $800 less on your refund).

Kim

From irs.gov:

9. What if I receive an advance payment that’s larger than the Child Tax Credit I am entitled to claim on my 2003 return?

When figuring your 2003 child tax credit, you will subtract your advance payment from the amount you would otherwise claim. If your advance payment was more than this amount, you will not have to repay the difference. The new law bases the advance payment on the child tax credits claimed on the 2002 tax return. Of course, we recognize that your tax situation can change from year to year.

10. Will this advance payment raise my taxes for 2003?

No – it’s part of the tax cut the new law gives you for 2003. Keep the notice the IRS sends you for your tax records. You will need your advance payment amount to figure the child tax credit on your 2003 return.

12. If I receive the advance Child Tax Credit payment will I get a smaller refund than last year?

Assuming your income and number of qualifying children remain the same, your 2003 refund shouldn’t be smaller than your 2002 refund because of your advance payment. That’s because the advance payment is the same amount as the increase in the value of the credit. The law simply gives you this increase now, rather than having you wait until next year for a bigger refund. When you figure the Child Tax Credit on your 2003 return, you will subtract the amount of your advance payment check from the $1,000-per-child total, generally leaving you with the same $600-per-child credit that you had in 2002.

 

[cindala]

Alas, no check for us. Our youngest DD turns 17 this year.

 

[juliette]

Another question my sister worked last year and earned the credit. The only thing that this year she did work she lost her job in the beginning of the year. Is she still going to recieve the credit.

 

[Steve H.]

Originally posted by juliette
Another question my sister worked last year and earned the credit. The only thing that this year she did work she lost her job in the beginning of the year. Is she still going to recieve the credit.

She'll likely get the check this month. Whether or not she loses some of that credit when time comes to fill out her 2003 tax return (not necessarily "paying it back", but a reduction of credits possibly) will depend on her financial status for the remainder of 2003.

 

[luvndisney358]

We got our letter on Friday, and received our $800.00 check yesterday. Well it's all spent already, toward a new computer for my college bound daughter!