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Originally Posted by over the mountain
1 - where are you seeing that a parent with 0 tax liability will actually get a refund for child tax credits? What I read is that it is a credit and not refundable but Im not sure if that is for 2017 taxes or 2018.
2 - My bone to pick is with the hypocrisy of it all. The temporary 7 year reduction in fed taxes is some kind of shiny dangling object to distract us from the fact that we will actually be paying more in taxes after 7 years and we will have to cut major programs like medicaid, medicare, social security, infrastructure, education, fed programs to pay for this permanent corporate and top 2% windfall.
I dont need the extra $20 every 2 weeks if I am just going to have to pay it back in 7 years and we have to make major fed program cuts.
Seems like some sleazy car salesman saying they will pay for the first months payment ... never mind the fact that we are overpaying for the car to begin with.
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https://www.forbes.com/sites/kellyph.../#2caba5774205
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Under tax reform, part of the Child Tax Credit remains nonrefundable but the "old" Additional Child Tax Credit, which was refundable, has essentially been merged into the new credit. I know that sounds confusing but what it means is that the Child Tax Credit is just one credit worth up to $2,000 per child and includes a refundable piece of up to $1,400 per child. To be clear, the $1,400 refundable piece is included as part of the $2,000 Child Tax Credit and is not an additional credit (unlike before).
A refundable credit means that you can take advantage of the credit even if you do not owe any tax. Unlike with a nonrefundable credit, if you don't have any tax liability, the "extra" credit is not lost but is instead refunded to you. To claim the refundable portion, you must have earned income (generally, wages, salary, tips, and net earnings from self-employment). For purposes of the new Child Tax Credit, the refundable portion is equal to 15% of your earned income which exceeds $4,500 up to the maximum credit.
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This is what I was talking about, but if I am misstating it, I apologize
2- I guess I don't believe 7 year forecasts, never have. Maybe the Congress needs to cut back spending some, maybe tax revenue goes up more then projections, but I highly doubt that in 7 years the Congress of 2024 is going to do a major roll back of taxcuts.
3- I love that people don't care about an extra $20 dollars. I can tell you I don't pick up pennies anymore, but $20 is gas for the week, or the money I send to my daughter's school every week to pay for trip fees and other bills. Is it life changing, for me no - but for a single parent that works hard and still struggles to make ends meet - it is not nothing.