There are millions of Americans who, in 2022, are hoping that more government stimulus money will arrive as the COVID-19 pandemic remains to wreak havoc across the country. On January 24, 2022, individuals will be able to begin filing their tax returns. This year’s tax break may be worth $5,000 to taxpayers who had a baby in 2021.
Filing Tax Returns
According to CNBC, individual tax returns were filed by 6 million people in December and by 2.3 million people in January. As many as 5 million pieces of taxpayer mail, some dated back to April, were found in the backlogs. Nine months after submitting their tax returns, many people were still waiting for their refunds.
The filing deadline for tax returns has been extended to April 18, 2022. The submission time limit for 2022 has been extended to April 18 in lieu of April 15 due to the District of Columbia’s celebration of Emancipation Day. Taxpayers in Maine and Massachusetts will have to wait an extra day to file their returns seeing as April 18 is Patriots’ Day in those states.
New Dependent Brings In Extra Cash
Having a newborn in 2021 may entitle parents to a refund of up to $5,000, according to H&R Block Tax Institute Director Andy Phillips, as reported by BGR. Parents of new children can celebrate their new family at tax time – whether they are biological, adopted, or a result of guardianship. Individuals should file their 2021 tax returns regardless of whether or not they are obligated to do so.
When they file their tax return, the IRS will be able to see how big their family has grown and will be able to adjust one’s refund accordingly. According to The Sun, individuals can get tax benefits of up to $1,400 if their household median income is $75,000 or even less. Once the $1,400 check reaches those thresholds, it transitions to a cap of $80,000 or $160,000.
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