$2,000 IRS Tax Credit: Find Out If Your Child or Dependent is Eligible. $ 2,000 IRS Tax Credit: There are still many taxpayers who have not filed their 2024 tax returns. There could be many reasons behind this.
Some people may have asked for a filing extension (extra time) from the IRS (Internal Revenue Service), some may have received tax relief that allows them to file returns later, and some people are living outside the US.
The IRS has set a new deadline for taxpayers living outside the US. If you fall into this category, the last date for you is June 16, 2025.
So if you are outside the US and have not filed your tax return yet, do not miss this deadline.
Is Your New Child or Dependent Eligible for the Tax Credit?
If you have recently had a child or have a new dependent in the family, and you don’t know if you can qualify for tax credit based on it, now is the right time to know.
Many times it happens that families have dependents on whose basis they can claim tax credit. And if you get this $2000 tax credit, it can be very beneficial for your financial situation.
Often the tax refund becomes bigger, which brings extra money in your pocket. So do not miss this great opportunity.
Know Your Eligibility Through IRS Online Interview
Before starting this process, you should be prepared. During this online interview, IRS will ask you some information like:
- Your filing status
- Date of birth of that person (child or dependent)
- Can you claim that person as a dependent or not
Who Can Use This IRS Tool?
You can use this tool only if you were a US citizen or resident alien for that tax year.
If you want to know eligibility for the 2024 tax year, you should have been a US citizen or resident alien during the entire 2024 year.
If you are married, both have to meet these conditions.
International taxpayers, that is, those who are not residents of the US, cannot use this online interview. Because there are different rules for them.
If you are a nonresident or dual-status alien, then you have to carefully read the rules made for US international taxpayers.
You can find detailed information about this on the official website of the IRS: International taxpayers
How Long Will the IRS Interview Take?
This interview is very easy.
If you have all the necessary information ready, it will take less than 10 minutes.
For this, you have to go to this website: Does my child/dependent qualify for the child tax credit or the credit for other dependents?
Go there and click on “Begin” to start the interview.
For Which Tax Years Can You Check Eligibility?
You can check eligibility for these years through this interview:
- Tax year 2024
- Tax year 2023
- Tax year 2022
Press the “Continue” button and go to the next step.
After this, you have to select the tax year for which you want to check eligibility. After selecting the tax year, click on “Continue” again.
Which Filing Status Will Have to Be Selected?
You will need to select one of your filing statuses:
- Single
- Married filing jointly
- Married filing separately
- Head of household
- Qualifying surviving spouse with a dependent child or children
After selecting your filing status, proceed to the next step.
What Information Will You Need?
In this interview, you will need to provide:
- Your Social Security Number
- Your spouse’s Social Security number if you are married
- If you have been disallowed any tax credits in previous years, then its details
Then you will provide the details of the people for whom you want to claim tax credits.
If it is a child, you will need to indicate whether he or she is your:
- Biological Child
- Adopted Child
- Foster Child
- Stepchild
- Or any other dependent
After adding information for each person, click “Continue”.
After this, you will have to answer some final questions. After the interview is completed, you will get the result immediately, whether your child or dependent is eligible forthe IRS tax credit or not.
Remember — this interview is only for information, not a final decision. If you fill in the correct information while filing tax return, then IRS will make a final decision based on your filed data.
Read more: £250 Cost of Living Boost Coming Soon for UK Families Earning Under £40,000
What Will Be the Benefit of This Tax Credit?
This tax credit will be deducted directly from your total tax. For example:
If you owe $3,000 in taxes and you get a tax credit of $2,000, you now only owe $1,000 in taxes. You may also get money back as an additional refund if you have a tax refund.
This provides great relief to families, especially for those families who have young children or dependents.
If you have become a new parent or a new dependent has been added to your family, then definitely check if you are eligible for this credit.
Conclusion
There are still many taxpayers who have not filed their 2024 tax returns.
If you live outside the US, you have time till June 16, 2025. Also, if you have a new child or dependent in your family, you can use the IRS’s online tool to check whether you are eligible for a tax credit of $2000 or not.
To start this process, go to the IRS link mentioned above and give an interview. Keep complete information and correct documents ready so that this work gets done quickly.
