Just off the wire. Here’s the Congressman’s Rangel’s tax tips as we head into the tax deadline on April 18th, 2011.
- Child Tax Credit Information
- The Child Tax Credit program can reduce the Federal tax you owe by $1,000 for each qualifying child under the age of 17.
- In order to qualify for this benefit program, the child you are claiming the credit for must be a son, daughter, foster child, brother, sister, stepbrother, stepsister, or a descendant of any of them (for example, your grandchild, niece, or nephew).
- Child and Dependent Care Credit
- The Child and Dependent Care Credit program can reduce your tax by claiming the credit for child and dependent care expenses on your Federal income tax return.
- In order to qualify for this benefit program, you must be responsible for a school-age child(ren) (grades K-12) and you must be a taxpayer who is interested in receiving tax information and tax preparation assistance.
- Earned Income Tax Credit (EITC)
- This program offers a Federal income tax credit for working individuals and families who earned less than $48,279 during 2009.
- In order to qualify for this tax benefit program, you must have earned income either from wages or from self-employment, your income must be less than $48,279, you must be a taxpayer interested in receiving tax information or taxpayer assistance and you must file an income tax return to claim the credit.
- Health Coverage Tax Credit
- HCTC is a tax credit administered by the Internal Revenue Service. The tax credit is equal to 80% of the amount paid by an eligible individual for qualified health coverage. Monthly payments are made directly to a health plan administrator on behalf of participants, allowing them to receive the benefit on the tax credit at the time of need.
- In order to be eligible for this program, you must fall into at least one of the following categories:
- You are an eligible TAA recipient: an individual who is receiving a trade readjustment allowance (TRA) under the TAA program, or would be eligible for TRA except that you have not exhausted unemployment benefits.
- You are an eligible alternative TAA recipient: an individual who is receiving benefits under a demonstration program of alternative trade adjustment assistance for older workers under Section 246 of the Trade Act of 1974 (as amended by the Act).
- You are an eligible Pension Benefit Guaranty Corporation (PBGC) pension recipient: an individual who is 55 years of age or older and is receiving a pension benefit paid in whole or part by the PBGC.
- Low-Income Taxpayer Clinic
- If you are a low-income taxpayer who cannot afford professional tax assistance or if you speak English as a second language (ESL) and need help understanding your taxpayer rights and responsibilities, you may qualify for help from a Low Income Taxpayer Clinic (LITC). LITCs serve individuals who have a tax problem with the Internal Revenue Service (IRS) and whose income is below a certain level.
- Each LITC independently determines if you meet the income guidelines and other criteria before it will agree to represent you. In order to qualify for this benefit program, you must need income tax information and return preparation assistance, you must not speak English fluently, or you must characterize your financial situation as low income or very low income.
- Tax Benefits for Education
- Certain tax benefits may be available to you if you are saving for or paying educations costs for yourself or another student who is a member of your immediate family. Most benefits apply only to higher education.
- In order to qualify for this benefit program, you must have educational needs and be a taxpayer who is interested in receiving tax information and tax return preparation assistance.
For more information, please visit Benefits.gov
163 West 125th Street, Suite #737
New York, NY 10027
Office: (212) 663-3900
Fax: (212) 663-4277