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Families who added new additions in 2021 could get $5,000 on tax return

Tax Filing
Posted at 10:14 AM, Jan 28, 2022
and last updated 2022-01-28 13:21:33-05

If your family welcomed a new addition last year, you could be eligible for a huge refund this tax season.

The IRS says if you adopted a child, had a baby, or became a legal guardian, you might be able to add $5,000 in your refund due to two new tax credits as part of the $1.9 trillion aid package President Joe Biden signed into law in 2021.

According to USA Today, to be eligible, you must meet the following criteria:

  • Parents or guardians must not have received advanced Child Tax Credit payments on behalf of the child in 2021 (worth $3,600 total for children under age 6).
  • The new family member did not receive a $1,400 stimulus check in 2021.
  • Your family doesn’t exceed the income guidelines.

To get the $1,400 stimulus check for your new addition, single filers must have made up to $75,000 per year, $112,500 per year if filing as head of household, or $150,000 per year if married and filing a joint return.

    To get the $3,600 child credit tax, single filers made less than $200,000 per year, and couples filing jointly must have made $400,000 or less in adjusted gross income.

    To get the money, the IRS says you'll need to add in the Child Tax Credit and file a Recovery Rebate Credit on the tax form.

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    The filing deadline to submit 2021 tax returns or an extension to file and pay tax owed is Monday, April 18, 2022, for most taxpayers. By law, Washington, D.C., holidays impact tax deadlines for everyone in the same way federal holidays do. The due date is April 18, instead of April 15, because of the Emancipation Day holiday in the District of Columbia for everyone except taxpayers who live in Maine or Massachusetts. Taxpayers in Maine or Massachusetts have until April 19, 2022, to file their returns due to the Patriots' Day holiday in those states. Taxpayers requesting an extension will have until Monday, October 17, 2022, to file.