Tax Credits for Families

Tax Benefits for Families

It’s tax season and the opportunity to get money back is here. CDA has partnered with 2-1-1 San Diego to ensure our clients take advantage of several tax credits available to support you and your family this year. These tax credits may reduce the taxes you need to pay or increase your tax refund.

What is CalEITC?

The California Earned Income Tax Credit (CalEITC) is a state cash-back tax credit designed to put money in the pockets of low-income working families and individuals.

You may qualify for the CalEITC if:

  • You’re at least 18 years old or have a qualifying child.
  • Have 2021 taxable income that is less than $30,000.
  • File with a Social Security Number or Individual Taxpayer Identification Number (ITIN).
  • Have lived in CA at least half the last tax year.
  • NOT qualify as someone’s dependent or be Married Filing Separately.
  • File a California state tax return.

The amount of CalEITC you get depends on your household status, income, and family size. The maximum you can receive is $3,160.

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Frequently Asked Questions

What is EITC?

The Earned Income Tax Credit (EITC) is a federal tax credit for working people who have earned a low-to-moderate income. Unlike the CalEITC, only people with Social Security numbers qualify. If you qualify, you may see a reduced tax bill or a bigger refund.

You may qualify for the EITC if:

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What is the YCTC?

If you qualify for CalEITC and have a child under the age of 6, you may also qualify for a refundable tax credit of up to $1,000 through the state Young Child Tax Credit (YCTC).

Important Information:

  • Qualifying children must be under 6 years of age as of December 31, 2021.
  • ITIN holders only qualify for the CalEITC and the California Young Child Tax Credit.

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What is the CTC?

The Child Tax Credit (CTC) is a federal tax credit for eligible children ages 0-17. The tax credit amount varies depending on the age of your child. For children under 6 years old you may receive up to $3,600 and for children between the ages of 6-17 you may receive $3,000 in tax credits.

Important Information:

  • Qualifying children must be under 6 years of age as of December 31, 2021.
  • ITIN parents can claim the federal Child Tax Credit for citizen children.
  • Monthly advance payments for this credit started in July 2021. These payments were in advance of this year’s tax filing. Therefore, if you received these monthly payments, your tax refund next year may be smaller.

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What is the Middle Class Tax Refund?

The Middle Class Tax Refund payment will provide qualified state personal income tax filers with a one-time payment in order to provide relief to Californians.

Important Information:

To be eligible for this tax credit, you must have filed a complete 2020 tax return by October 15, 2021. However, if you applied for an ITIN and had not received it by October 15, 2021, you must have filed your complete 2020 tax return by February 15, 2022.

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Frequently Asked Questions

Q. I didn’t know about the tax credit last year, can I still claim them?

A. If you missed out on the California Earned Income Tax Credit you can still claim it for up to 4 years.

Q. Will the tax credits affect my public benefits?

A. Tax credits are not considered income and will not affect any of the other public benefits you are receiving.

Q. I have an Individual Taxpayer Identification Number (ITIN), can I still claim the tax credit?

A. ITIN filers are now eligible to receive the California Earned Income Tax Credit and the Young Child Tax Credit if they meet the other eligibility requirements.

Additional Resources

 

Tax Credits Flyer

Download our informational flyer and learn more about the available tax credits.

File Your Taxes

There are many ways to file your taxes. Don’t wait until the last minute.
Deadline to file your taxes is Monday, April 18, 2022!

Find Out How Much You Could Get Back!

Use the CalEITC calculator to see if you qualify and estimate the amount of your credit by clicking the button below.