The Internal Revenue Service (IRS) alerted taxpayers about updates implemented for the 2024 tax year that are applicable for the current filing season.
The deadline for filing 2024 returns is April 15.
“To avoid mistakes and potential processing delays, taxpayers should refrain from filing until they have received all necessary tax documents,” the agency said in a Feb. 19 statement. The IRS “encourages taxpayers to make essential preparations and be aware of significant changes that may affect their 2024 tax returns.” Major changes include higher tax credits, higher standard deductions, and increased contribution limits.
“The maximum Additional Child Tax Credit (ACTC) amount has increased to $1,700 for each qualifying child,” up from $1,600 in the 2023 tax year. ACTC is the refundable part of the Child Tax Credit (CTC) and is claimed by households with tax dues lower than their eligible CTC amount….