My husband and I are having a baby next month. How much more tax return can we expect next year?

Question

My husband and I are having a baby next month. How much more tax return can we expect next year?

Answer 1

Well, depending on your tax bracket, you can at least get the $1000 child tax credit.  Not to mention you now have another dependant and another personal exemption.  Together that is about another 6700 in deductions.

Answer 2

It depends on your tax bracket.

All things being equal (and they never are) adding a new born to a tax return will increase a refund by between $1525 and $1875 for 2008.

(assumes a tax bracket of 15% or 25%)

Answer 3

depending how much you and your husband make and how you file will determine how much of a tax return you will have....example: if the two of you file married jointly and combine your income or if you file married separately and split up your income.....without knowing that info, you can not determine an amount....however, you should be able to qualify for the EIC which is also determined by your income.....for the most part you should get at least $1000 more than you usually get but i have known people who had to pay in even with the EIC extra payment...if you do want a for sure amount, when the two of you get your last pay stubs for the year, go to www.irs.gov and find the link to "WHATS MY REFUND" and type in the necessary info and you will get a correct amount....you can also enter the info both ways to see which way you would get the most back...hope this helps

Answer 4

The only thing that can be said for certain is that your taxable income will be reduced by another $3400 (personal exemption for 1 person based on 2007 tax tables).  This means, of course, you will be assessed less tax.  You will most likely get a maximum of a $1000 child tax credit, further reducing your tax.  If you put your child in daycare or have a paid babysitter you will get the Child and Dependent Care Credit which also would reduce your tax.  This is if you are both working.  How much you will get for that would be dependent on what those expenses might be.

Exactly how much your refund would be is based on your income, your tax bracket, and how much was taken out in tax during the year.