Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (1) | Ignore Thread Prev Thread | Prev | Next | Next Thread
Author: kirkpan Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 121061  
Subject: Child tax credit refundable? Date: 2/15/1998 10:16 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
In all the discussion of the new child tax credit, no one seems to be addressing whether the credit is refundable, or they offer vague suggestions that it may be...Here's the beef - straight from the Senate Record vote analysis:
"... for a taxpayer who qualifies for the Earned Income Credit (EIC), the child credit will be computed entirely before determining any EIC eligibility (the EIC is a "refundable" credit that allows refunds to be given in excess of the amounts paid in income taxes; the original justification for creating the EIC was to reduce the burden of payroll taxes (principally Social Security); people who are eligible for the maximum EIC credit now get back all the money they have paid in income and payroll taxes put together and they get an extra sum of more than $2,500); for a taxpayer who qualifies for the EIC and who has three or more children, the child tax credit will be refundable to the extent that the application of the child tax credit and the EIC together do not exceed the total amounts paid in income and payroll taxes; for related debate, see vote Nos. 140 and 156."
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (1) | Ignore Thread Prev Thread | Prev | Next | Next Thread

Announcements

Disclaimer:
In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
Post of the Day:
Value Hounds

Medallion Financial: TAXI!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement