The refundable portion of the Child Tax Credit, the Additional Child Tax Credit (ACTC) is worth up to $1,600 per eligible child. To get the ACTC payout eligible Individuals must submit a Schedule 8812 along with their Form 1040 before the deadline.
The ACTC payout will be provided to only those who meet the adjusted gross income (AGI) limit of $200,000 for single filers and $400,000 for married couples filing jointly. For each $1,000 over these thresholds, the ACTC payout will be reduced by $50.
$1,600 ACTC Payout
The Additional Child Tax Credit (ACTC) is the refundable portion of the Child Tax Credit (CTC). The Child Tax Credit lowers individuals’ tax bill by a maximum of $2,000 for each eligible child, no amount is refundable after it pushes individuals owed taxes to $0.
To resolve this issue in the United States, the government provides an additional child tax credit (ACTC) that allows a maximum of $1,600 per child ACTC payout when an individual files taxes. The payout amount of the Additional Child Tax Credit (ACTC) is a maximum of $1,600 for each qualifying child.
| Maximum ACTC payout | Up to $1,600 per eligible child |
| AGI limit for single filers | $200,000 |
| AGI limit for married couples | $400,000 |
| Reduction per $1,000 over AGI limit | $50 |
| Age limit for qualifying child | Under 17 |
| Filing deadline for tax return | April 15 |
| Electronic return processing time | Within 21 days |
| Paper return processing time | Up to 6 weeks |
However, the exact payout amount will depend on several factors your income, filing status, and the total number of qualifying children. For the tax year 2024 (which is going to be filed in 2025 January) eligible individuals can get a maximum of $1,600 per child.
Who is eligible for a $1,600 ACTC Payout?
The eligibility criteria for $1,600 ACTC are listed below.
- Interested individuals need to have one or more qualifying children.
- Individuals need to live in the United States.
- Your adjusted gross income does not exceed $200,000 if you’re single or $400,000 if you’re married and file jointly.
- The child needs to be at least 17 years old at the end of the tax year.
- To qualify the child needs to complete the relationship and residency tests for a uniform definition of an eligible child.
- The child does not need to provide more than half of his/her support for the qualifying tax year.
- To qualify, a child must live with you for more than half the tax year.
- The interested child must be claimed as a dependent on your annual tax return.
- The child does not need to file a joint tax return for the current tax year or file the tax return jointly only to claim a refund of taxes withheld or estimated taxes.
- The child must be a permanent United States citizen, a United States National, or a United States resident alien.
- The child needs to have a valid Social Security Number issued by the Social Security Administration (SSA) before the due date of your tax return (with extension)
How to file a claim for a $1,600 ACTC Payout?
Steps to file a claim for $1,600 Additional Child Tax Credit (ACTC) Payout are listed below.
- Navigate to the https://www.irs.gov/ website.
- Check the eligibility criteria of ACTC.
- Locate the U.S. Individual Income Tax Return (Form 1040) and hit it.
- Enter all the required details in your Form 1040 such as personal details and information about your child(ren) and other dependents.
- Fill out and then attach Schedule 8812 (Credits for Qualifying Children and Other Dependents) with your Form 1040. Through this form, you can claim the amount of the ACTC easily.
- Attach all the supporting documents.
- Select the refunds receiving payout method from the available options.
- After verifying all your entered details submit your form 1040 with schedule 8812 to the IRS before the deadline for filing a tax return (with an extension).
When will you get the $1,600 ACTC payout?
The payout amount of the Additional Child Tax Credit (ACTC) will be provided to you after submitting a valid, accurate, and completed tax return with Schedule 8812, by the deadline (normally April 15th). After that, the processing of your claim starts.
The IRS processes electronically filed returns within 21 days of submitting them. Paper filing returns can take longer than electronically filed returns, often up to six weeks.
When your return is processed, the IRS will issue your refunds, which will include the ACTC amount. If you file early online, you can expect to receive your refund, including the ACTC, through your selected payout-receiving method.
Filing near the deadline, through a paper filing method or selecting a paper check payout receiving method may result in a later payout.
How can you check the status of your $1,600 ACTC payout?
Steps to check the status of the $1,600 ACTC payout are listed below.
- Visit the IRS official website at https://www.irs.gov/wheres-my-refund.
- Locate the check your refund status button and Hit it.
- A new web page opens in front of you.
- Please enter all the required details, such as your tax year Social Security number, filing status, and the exact refund amount.
- Hit the submit button to view the status of your refunds including ACTC.
