What Form 2350 Pub 2023-2024

Hi, my name is Mauricio Martinez and thank you so much for taking the time to watch this video. I'm a partner here at Hawkins and Martinez, a small business tax accounting consulting firm located in Longmont, Colorado. We serve small businesses throughout the United States, as well as in Longmont, Colorado. Now, let's talk about the child tax credit of 2018. Firstly, let's start with the good news. The child tax credit has increased from $1,000 to $2,000 per qualifying child. That's a great benefit! Additionally, some of you may not have been able to take advantage of the child tax credit in the past due to adjusted gross income limits. Previously, if you had an adjusted gross income of more than $110,000 (filing jointly), you weren't eligible for any benefit or received very little benefit. However, the new law has increased the phase-out limit to $400,000. So, if you and your spouse have a combined adjusted gross income of around $160,000, you can now receive the full tax credit. For those not filing married filing jointly, the phase-out limit used to be $75,000. It has now been raised to $200,000. This means that even if you and your spouse earn $160,000, you can still receive the full child tax credit. However, there's a little caveat to all of this. You need to be careful because there are other factors to consider beyond just the extra $1,000 per child credit. For example, personal exemptions have been eliminated, which previously lowered your taxable income. So, although the tax credit is beneficial, it's important to consider all the changes to the tax law. The standard deduction has now doubled, and the tax rates have lowered, which can also impact your overall tax liability. It's crucial to take all of these factors into account. Therefore, my suggestion is...