WORRIED ABOUT RENT?

THE LIGHT BILL?

ARE YOU STRUGGLING TO MAKE ENDS MEET?

THIS TAX SEASON MAY BE MORE IMPORTANT THAN EVER FOR YOU.

Our community is facing economic challenges due to the COVID-19 pandemic. Your family may be feeling the financial crunch and we are here to help.
At United Way, we fight for all working families who are struggling to make ends meet.  One way we can help is by connecting you to information and resources about filing your income tax return in 2021.

If eligible, you can claim the Earned Income Tax Credit (EITC) and Child Tax Credit (CTC) and maximize your tax refund so you can keep more of your hard-earned money.  The EITC and CTC refunds can give you the opportunity to catch up a bill in arrears, make a needed car repair, secure a healthcare visit, and more.  United Way’s national, free online tax preparation service MyFreeTaxes is available to you for self-prepared returns or visit a Volunteer Income Tax Assistance (VITA) site to receive assistance from a trained professional.


Together, the EITC and CTC boosted the income of 28.1 million Americans in 2018, and provided a step toward economic mobility for 10.6 million people, including 5.5 million children.

Copyright © 2020 United Way of North Carolina

HERE'S WHAT YOU NEED TO KNOW

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What is the Earned Income Tax Credit (EITC?)

  • The United States federal earned income tax credit or earned income credit is a refundable tax credit for low- to moderate-income working families, particularly those with children. The amount of EITC benefit depends on a recipient's income and number of children.

How much tax credit will I receive through EITC?

  • The tax credit refunds range from $529 to $6,660 depending on your income, marital status and the number of children you have.
  • You can learn more here

What is the Child Tax Credit (CTC)?

  • The Child Tax Credit is a refundable tax credit worth up to $2,000 per qualifying child and $500 per qualifying dependent. The credit begins to phase out when adjusted gross income reaches $200,000 for single filers and $400,000 for married couples filing jointly.
  • The Child Tax Credit is one of three kid-focused federal tax credits that are among the most effective ways to reduce your tax bill.
  • How to qualify for the Child Tax Credit
    • You can take full advantage of the credit only if your modified adjusted gross income is under:
      • $400,000 for married filing jointly
      • $200,000 for everybody else.
    • Some of the other child-related eligibility requirements for the Child Tax Credit include:
      • You must have provided at least half of the child’s support during the last year, and the child must have lived with you for at least half the year (there are some exceptions to this rule; the IRS has the details here).
      • The child cannot file a joint return (or file it only to claim a refund).
      • The child has to be 16 or younger by the end of the calendar year.
      *Most tax software will lead you through the process and calculate the credits for you.

How much of a tax credit will I receive through the CTC?

  • The Child Tax Credit offers up to $2,000 per qualifying dependent child 16 or younger at the end of the calendar year.
  • There is a $500 nonrefundable credit for qualifying dependents other than children.
  • This is a tax credit, which means it reduces your tax bill on a dollar-for-dollar basis. Up to $1,400 of the Child Tax Credit is refundable; that is, it can reduce your tax bill to zero and you might be able to get a refund on anything left over.

Is there a way to file my taxes for free?

  • Through United Way’s partnership with H&R Block, every household with a simple return can file their federal and state taxes for free at My Free Taxes.

Where can I find my tax preparation site?

  • VITA (Volunteer Income Tax Assistance) sites are available across North Carolina. Click here to find a site near you.

Would you like to understand your finances a little better?

  • Many families don’t have a handle on their household budget and know the real cost of living for their family size and geographic location. Visit the Our Money Needs Calculator to learn more and be connected to budgeting tools to start a path toward financial stability.

WHERE CAN I FIND HELP AND RESOURCES?

NC 211 is an information and referral service provided by United Way of North Carolina. Families and individuals can dial 2-1-1 or 1-888-892-1162 to obtain free and confidential information on health and human services and resources within their community.  Or, visit nc211.org to search for resources online.

This service is free thanks to the support of local United Ways across the state.

WE HAVE GOOD NEWS FOR YOU!

Eligible families who did not receive the $335 check have another chance to apply through July 1, 2021.

Some families not required to file state tax returns may be eligible and should apply.

$335 GRANT MAY BE AVAILABLE FOR YOUR FAMILY.

The Extra Credit Grant program was established by the state’s general assembly in 2020 to help families with children who were 16 or younger at the end of 2019 by providing economic support.

The Extra Credit Grant program has been extended through July 1, 2021 for eligible families who did not receive the $335 check in 2020.

WHAT IS THE EXTRA CREDIT GRANT PROGRAM?

HELPFUL INFORMATION

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How much will I receive?

  • The grant amount is $335 total for each eligible household, even if the household has two or more qualifying children.

Who is Eligible?

  • North Carolina Families with children who were 16 or younger at the end of 2019 who did NOT already receive the $335 check from the NC Department of Revenue.
  • Families not required to file a 2019 state tax return are eligible and must apply
    • Families are not required to file state tax returns generally if income is below $10,000 per year if you are single and $20,000 per year if you are married. The grant is based on 2019 filing status, which is the tax return filed in 2020.
  • Some families required to file a 2019 tax return who have not received their $335 check

When are payments going to be available?

  • Checks will be mailed from the NC Department of Revenue to most qualifying Extra Credit Grant recipients 2-4 weeks after the application is submitted. Anyone who does not qualify will receive a letter from the NC Department of Revenue.

How do I apply?

Las familias elegibles que no recibieron el cheque de $335 tienen otra oportunidad para postularse hasta el 1 de julio de 2021.

Es posible que la subvención de $335 esté 

El Extra Child Grant Program (Programa de subvención adicional por hijos) se estableció en la asamblea general del estado en 2020 para ayudar con apoyo económico a las familias con hijos que tenían 16 años o menos al final de 2019. La subvención adicional de crédito es un pago de $335 del Estado de Carolina del Norte para ayudarle con los costos de educación virtual y cuidado infantil.

El programa Extra Credit Grant se ha extendido hasta el 1 de julio de 2021 para las familias elegibles que no recibieron el cheque de $335.

¿Qué es el Extra Child Grant Program?

información

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¿Cuánto recibiré?

  • El monto de la subvención es de $335 total para cada hogar elegible, incluso si el hogar tiene dos o más niños que califiquen.

¿Quién es elegible?

¿Cuándo estarán disponibles los pagos?

  • Los cheques se enviarán por correo desde el Departamento de Hacienda de Carolina del Norte a la mayoría de los receptores calificados del Extra Credit Grant entre 2 y 4 semanas después de que se presente la solicitud. Cualquiera que no califique recibirá una carta del Departamento de Ingresos de Carolina del Norte.

¿Cómo me postulo?

DISPONIBLE PARA SU FAMILIA.

APRENDE MÁS