The 2017 Tax season will soon be here, and for those who have children, there are some very important changes that are occurring. In December 2015, Congress enacted the Protecting Americans from Tax Hikes (PATH) Act of 2015, and many of its provisions go into effect Jan. 1, 2017. These provisions include changes to the Earned Income Tax Credit (EITC), Child Tax Credit (CTC), and American Opportunity Education Tax Credit (AOTC). 

EITC and CTC Changes

These requirements include strict penalties for any false claims of credit. The penalties bar a filer from claiming these credits if they are found guilty of fraud. In addition, filers cannot claim any credit for years that children did not have a Social Security number (SSN). 

AOTC Changes

For those claiming AOTC, a separate form must be filled out by the educational institution and submitted with the tax return. Returns that do not have the attached form will now be rejected. 

Refund Dispersal

Navigating tax laws is difficult. To prevent you from a possible audit, it is important to let a seasoned professional handle your taxes. To get started with tax preparation , contact Quality Bookkeeping Services Inc. today.