Congress has recently passed the “American Rescue Plan” (aka the “stimulus bill”), which has provisions that can significantly increase the benefit of child-related deductions and credits.

 

The law makes changes to the Child Tax Credit, Child Care Credit, and Earned Income Credit that enhance their value to the person receiving them, especially for the 2021 tax year. 

 

I thank the folks at Family Law Software for getting these details laid out in a recent newsletter. Their divorce financial planning software is exceptional and has a robust tax module we use to help our...