Life in New York has just received a pleasant surprise. Governor Kathy Hochul recently announced the distribution of $350 million in state revenues throughout August. This initiative is part of the expanded Empire State Child Tax Credit program, designed to provide crucial support to families with children under 17 years old. This article breaks down everything you need to know about this benefit, from eligibility requirements to the amounts you can expect to receive.
The Empire State Child Tax Credit (ESCC) is a tax relief aimed at New York families with children under 17. This credit not only helps cover childcare expenses but is also refundable. This means that you could be eligible to claim a portion of the credit even if your family has no tax liabilities.
Eligibility requirements for the child tax credit
To benefit from the ESCC in 2023, there are several criteria you must meet. First, you must be a full-year resident of New York or married to someone who is. Additionally, you must have a child who qualifies for the federal child tax credit.
You can also claim the credit if you base your eligibility on the 2017 income thresholds or if you meet the 2023 federal income requirements. If you meet these criteria, you could claim up to a certain amount of money per child on your 2023 tax return.
How to know if you qualify for the child tax credit check
To know if you will receive an additional check for the child tax credit, you must have claimed the ESCC for 2023 and received at least $100 from this credit. It is also essential that you filed your tax return before the April 15, 2024, deadline, or that you have a valid extension.
The maximum amount you can receive per child is $330, but the exact amount depends on your federal adjusted gross income (AGI) on your 2023 tax return. This payment ranges between 25% and 100% of the claimed child tax credit. For example, if your AGI is $10,000, you will receive the full $330 per child.
To help you calculate the estimated amount you could receive, the state of New York has provided an interactive calculator on its website. Below are some examples of the calculations based on different AGI ranges:
- If your AGI is more than $10,000 but less than $25,000, you will receive 75% of your ESCC.
- If your AGI is more than $25,000 but less than $50,000, you will receive 50% of your ESCC.
- If your AGI is more than $50,000, you will receive 25% of your ESCC.
Process to receive the child tax credit check
You do not need to apply to receive this check. You will be automatically enrolled based on your 2023 tax filing, and checks are already being sent out.
To check the status of your check or for any tax-related questions in New York, you can visit the state Department of Taxation and Finance website.
The 2024 child tax credit check distribution is a one-time event, but many are wondering if there will be a similar payment in 2025. For this to happen, next year’s state budget would need to renew the funding for this program.
When asked about the 2024 payments, Governor Hochul stated: “I will never stop fighting to address the cost of living for working parents.” This statement aligns with her previous work expanding tax refunds for New Yorkers.
If Governor Hochul fulfills her commitment, we might see a possible expansion of this program in the future, providing even more relief to New York families.
Impact of the child tax credit on New York families
The impact of the Empire State Child Tax Credit on New York families cannot be underestimated. This program offers significant financial relief, especially for low to moderate-income families struggling to cover the rising costs of daily life. The checks can help cover a variety of expenses, from childcare to school supplies, providing essential relief to those who need it most.
To ensure you receive the full benefit of the Child Tax Credit, it is crucial that you file your tax return on time. The deadline is April 15, 2024, although if you need more time, you can request a valid extension. Filing your taxes promptly not only guarantees that you receive any refund you are entitled to, but also ensures that you are eligible for additional benefits like the ESCC.
Useful tools and additional resources
The state of New York has provided several tools and resources to help families navigate the Child Tax Credit process. In addition to the interactive calculator available on its website, there are also guides and FAQs that can help you better understand the program and maximize the benefits you can receive.
The Empire State Child Tax Credit program is a valuable initiative that offers crucial financial support to New York families. With the recent expansion of the program and Governor Hochul’s ongoing commitment to fighting for the interests of working parents, the future looks promising. Families can expect not only to receive the necessary help now, but also to see potential expansions of the program in the coming years, providing continuous and significant relief.
The Child Tax Credit is more than just financial aid; it is a testament to New York State’s commitment to supporting its residents and ensuring that all families have the resources they need to thrive.
