Thousands of families across the United States could soon see a financial boost of up to $1,600 per child thanks to a key IRS tax credit designed to support low- and moderate-income households. This benefit, known as the Additional Child Tax Credit (ACTC), is part of the broader Child Tax Credit program and offers a refundable amount to eligible parents with children under the age of 17.
The IRS has already begun issuing these payments to qualified taxpayers who filed their 2024 tax returns electronically and selected direct deposit as their refund method. However, there’s still time to claim this refund—especially if you haven’t filed yet or were previously unaware of your eligibility. With the cost of living continuing to strain household budgets, this credit could provide timely relief for millions of American families.
Who qualifies for the $1,600 IRS refund?
The $1,600 refund is part of the refundable portion of the Child Tax Credit. To be eligible, taxpayers must meet the following conditions:
- The child must be under 17 years old by December 31, 2024.
- The child must be your biological child, adopted child, stepchild, grandchild, or another qualified dependent.
- The child must have lived with you for at least half of the year.
- The child must have a valid Social Security Number (SSN).
- Your household income must fall within the IRS limits to qualify for the full credit.
Even if you’re not required to file a tax return, you may still claim the refund by filing one. The IRS will not issue the payment unless it receives a formal request through your tax return.
How to claim the ACTC and when to expect your refund
To receive the Additional Child Tax Credit, you must:
- Complete the Child Tax Credit Worksheet found in the instructions for Form 1040 or 1040-SR.
- Fill out and submit Schedule 8812, which allows you to claim the refundable portion of the credit (the ACTC).
Once your return is submitted and accepted, the IRS typically issues refunds within 21 days—though delays may occur if your return has errors or requires additional review.
To track the status of your refund, you can use the IRS’s official “Where’s My Refund?” tool, available online 24/7.
This tax credit can offer immediate financial support for eligible families. If you’re a parent or guardian of a child under 17, don’t miss this opportunity to claim a $1,600 cash refund—it could make a big difference in your household finances this year.
