Where’s My Refund will be echoed quite frequently this tax season for individuals who claim the Earned Income Tax Credit (EITC) and/or Additional Child Tax Credit (ACTC) because refunds are being held until February 15th and then it will still take a few additional days to be processed by banks due to the Protecting American from Tax Hikes (PATH) Act of 2015. Get ready to be patient provide documentation for EVERYTHING.
Earned Income Tax Credit is great for employed individuals who make a low to moderate income. You may not be required to file taxes based on your income or not even owe any tax if you do file but by meeting specific requirements you may qualify for the EITC and even receive a refund.
The Additional Child Tax Credit is a credit that may reduce your tax by up to $1,000 for each qualifying child.
To simplify the process, make sure you provide documentation for the following:
• Filing Status
• Proper Identification (Ex. Driver’s license and social security card)
• Children & Dependent Info
• Birth Certificates or Adoption Records
• Health Insurance Cards
• School Records
• Day Care Records
• Utility Bills
• Insurance Documentation
• Tuition Documentation
• Financial Support
Tax preparation is all about documentation. The time is gone for everyone trying to beat the other to claim other people’s children. The system is set up so that those who file early will be compared in the IRS system by social security number to make sure only one individual take advantage of various tax credits. It’s time to learn how to really put yourself in the position to take advantage of some real tax savings. Make your money work for you!