Category Archives: Child

2016 Child Tax Credit Amount

What is the 2016 Child Tax Credit Amount? The amount of the child tax credit will change every year. Between 2015 and 2016 there no chance in the difference in the amount of the child tax credit. Further, many families with children may also be able to claim the 2016 earned income tax credit. The Child Tax… Read More »

Paying Children to Make IRA Contribution

Is it legal to pay your young children for household chores to generate earned income for purposes of contributing to a Roth IRA? I have a young son and as soon as he is able to complete household chores (laundry, taking out the trash, pulling weeds, doing dishes, washing the car, etc.) I am considering… Read More »

Treating Foster Care Payments for Taxes

This information applies to taxpayers taking a foster child into your home-for reasons other than profit-and that an agency is going to make monthly payments to you for so long as you provide the foster care. Topics discussed include how you should treat those payments for tax purposes, whether you can deduct your expenses in raising the… Read More »

Tax Information Related to Adoption of Children

If you adopted or tried to adopt a child in 2014, may qualify for an adoption tax credit. If your employer sponsored costs of adoption, you may be able to exclude some of the income in taxes. Here are ten things you should know about the tax benefits of adoption. Adoption Credit / Exclusion. The credit is not… Read More »

IRS Rules of Gifts to Children and Gift Tax

The general income and estate and gift tax rules apply to gifts to minors as well as to adults under the eyes of the IRS. However, additional issues arise when minors are involved. An issue can arise as to whether there has been a valid gift.   What is Considered a Gift for IRS Purposes?… Read More »

Claiming Child Tax Credit 2015

The Child Tax Credit can save you money when you file taxes if you have a qualifying child. Families must have at least $3,000 in earned income to claim any portion of the credit. The refund formula means that families with one child become eligible for the full credit with incomes of $9,666 or more,… Read More »

Child Tax Credit and Additional Child Tax Credit 2015

Here’s what you need to know about the CTC, Child Tax Credit, and the refundable portion, the ACTC, Additional Child Tax Credit in 2015.  The child tax credit (as) is a non-refundable credit of up to $ 1,000 per child and additional child tax credit (as) is a refundable credit. If the amount of the taxpayer’s… Read More »

Tax Return Rejected For Child Care Expenses and Earned Income Credit EIC

Childcare Costs with Divorced Parents Only the custodial parent gets to claim childcare costs. Like someone mentioned there’s only parent parent that claim the child since there’s an odd number of days so one of you have to decide who’s the custodial parent for that particular child.   Tax Return Rejected For Child Care Expenses… Read More »