How much is the new york child tax credit increasing by
Good news for New York families: The Empire State Child Tax Credit is getting a boost, and you could see up to $1,000 per child in your pocket if you qualify. This is a significant increase compared to the current credit of $330 per child, which has been helping families for years. Governor Kathy Hochul announced that this increase is designed to make life more affordable for families dealing with rising costs.
Here is a quick breakdown of the new credit:
- $1,000 per child under 4 years old.
- $500 per child aged 4 to 16.
This update will double the average credit from $472 to $943 for eligible families. If you meet the income and eligibility requirements, this is a great way to get some extra financial relief.
Who qualifies for the new york child tax credit
Eligibility for the New York Child Tax Credit is based on your income and the age of your children. Here is what you need to know:
- Households filing jointly with incomes of up to $110,000 will qualify for the full credit.
- Families earning up to $170,000 may still qualify for a partial credit, depending on the phase-out rate.
If you have children under the age of 17 and meet these income requirements, you are likely eligible to receive this expanded benefit. This change aims to provide relief not just to low-income families but also to middle-class households who may not have qualified for the credit in the past.
How many families will benefit from the increase
This expanded credit is expected to help millions of families across New York State. In fact, the numbers are pretty staggering:
- New York City: 740,000 families and 1.2 million children.
- Long Island: 215,000 families and 355,000 children.
- Western New York: 118,000 families and 330,000 children.
- Mid-Hudson Region: 180,000 families and 330,000 children.
In total, more than 1.6 million families and 2.75 million children statewide are estimated to benefit. No matter where you live in New York, this credit has the potential to make a real difference in your household finances.
When will you be able to claim the increased credit
The rollout for this expanded credit is planned to happen gradually over the next two years. Applications will open in 2025 and 2026. It is a refundable credit, which means that even if you do not owe taxes, you can still receive the money as part of your tax refund.
If you are unsure about how to claim the credit or have questions about your taxes, do not hesitate to reach out to a tax professional or call 311 for assistance. They can guide you through the process and make sure you get the money you are entitled to.
Why this increase matters for families
Raising a family is expensive, and the cost of living in New York is no exception. Governor Hochul explained the motivation behind the increase: “From food to strollers to children’s clothing, the cost of living and raising a family remains too high.” By putting up to $1,000 per child into the hands of families, this initiative aims to reduce poverty and help families meet their financial needs.
This increase is not just about money—it is about giving parents and kids a better chance at a stable and secure future.
Continue reading:
IRS to send refunds soon: how to check the status of your tax refund
