To get both financial supports, parents must claim their newborn as a dependent when they file taxes next year.
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Parents who had a new child this year will be able to claim a tax refund that could run up to several thousand dollars. This is because parents may qualify for up to $ 5,000 for each child born in 2021 through two tax creditss included in President Biden’s relief package that was approved in March.
With these supports, parents could qualify for up to $ 5,000 by applying for a child tax credit (with which they can have up to $ 3,600) and a stimulus check for dependents (with which they can have up to $ 1,400) .
For both the child tax credit and the stimulus check, eligible parents would qualify as long as their baby was born or is born before the end of this year, as reported in Forbes.
Single taxpayers earning up to $ 75,000 per year, heads of household earning $ 112,500 or less per year, and couples filing jointly and earning up to $ 150,000 per year may qualify to claim the child tax credit.
The stimulus check of $ 1,400 for dependent children can be requested by singles who earn up to $ 75,000 per year and couples who file a joint tax return and earn up to $ 150,000 per year.
To obtain both financial support, parents must claim newborn as a dependent when they file taxes next year.
Parents could also apply for the Earned Income Tax Credit (EITC), which is designed for low-income workers and families. With this support, parents could potentially get a maximum support of $ 3,618 for each child.
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