Think of yield as the return provided by a fixed income investment. The yield of a bond is based on both the purchase price of the bond and the interest (or coupon) payments received each year. Yield is often the term used to describe long-term interest rates.
The child tax credit (CTC) provides a credit of up to $1,000 per child under age 17. If the CTC exceeds taxes owed, families may receive some or all of the credit as a refund, known as the additional child tax credit (ACTC) or refundable CTC. Taxpayers can claim a tax credit of up to $1,000 for each child under age 17.
About 26 million people received the credit last year, and the average credit was nearly $2,500, according to I.R.S. statistics. The âadditionalâ child tax credit is actually the refundable portion of the âoriginalâ child tax credit, which is worth up to $1,000 per child. Typically, families claiming the credits count on getting their tax refunds as soon as possible to help pay down debt, pay bills or finance car repairs, according to a report from the Tax Policy Center.