Positive Parenting: Filing taxes may earn extra credits this year
ORLANDO, Fla. (WILX) -
Last year, 25 million Americans received the Federal Earned Income Tax Credit, which supplemented their income by about $2,500 on average. Now, new research shows this credit could impact how kids score on academic tests.
Filing taxes isn't something most Americans look forward to, but it could offer benefits to your pocketbook and your kids' math and reading skills. Researchers examined data on 4,412 children between ages 5 and 14. More than half were black or Hispanic. They found when parents experienced increases in income due to larger earned income tax credits, their kids performed better on achievement tests. Even a $1,000 increase in family income helped to raise children's math and reading scores.
Low- and moderate-income families may be eligible for up to $6,500 back in tax credits. But research shows millions don't receive the cash because they don't know about credit or don't file their taxes. And non-native English speakers are less likely to apply than those who speak English.
Experts say filing your taxes is especially important this year because it's how COVID-19 relief money is given. The bottom line, you can't benefit if you don't file.
The U.S. has extended tax filing deadlines until July 15th, so you still have time. If you prefer, there’s a Spanish version of the earned income tax credit assistant to help you out. Visit www.irs.gov for more details.
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