New York State has enhanced the Empire State Child Tax Credit for the tax year 2025. The state taxpayers who are preparing to file state tax returns and claim the refundable credit, ESCC, can find the full details about the credit here.
What is the New York Empire State Tax Credit Refund 2026?
The New York State Governor, Kathy Hochul, announced the expansion of the Empire State Child Credit (ESCC), which is a refundable tax credit that supports New York families with children to make living in NY more affordable.
The credit helps the taxpayers to offset their taxes or receive a refundable portion if the credit is greater than the tax liability. This way, the state puts the money back into the pockets of New Yorkers and reduces child poverty. The analysts believe that this move can reduce child poverty in the state by 8%.
The state government has made many changes to make the credit accessible to every resident who needs it, such as:
- The government eliminated the provision that limits the states’ poor families to cover the full credit, as a minimum income requirement was earlier set, but now all families with lower income can have the refund.
- The government adjusted the phase-out limits so that middle-class families with income over the phase-out limit would also have the refund.
Who is eligible for the NY ESCC Refund 2026?
According to the NY Department of Taxation and Finance, if you meet the following eligibility conditions, you can claim the NY ESSC refund in this tax season:
- You should be a New York resident for the full tax-year 2025.
- You have at least one child of age under 17 as on the last date of the 2025 tax year and living with you.
- You must file the NY state income tax return and have a valid Individual Taxpayer Identification Number (ITIN) or Social Security Number for yourself as well as for the child you are claiming the credit for.
- If you have no income or income less than $4000, you can file the state income tax return and claim the credit.
How much credit will you receive under the 2026 NY ESCC refund?
New York State has enhanced the Empire State Child Credit for the 2025 tax year to support more families and give them a financial boost. The expansion has increased the credit for the New Yorkers in the following way for the 2025 tax year:
- The eligible families can receive $1000 for each qualifying child under the age of four and $330 for each qualifying child of age 4 to 16 years.
- The NY ESCC credit will be phased out if your income is over the following limits:
- Income over $110,000 for married filing tax return jointly;
- Income over $75,000 for single filers.
- The expanded credit combined the phaseout rate, meaning if a family has a child under 4 and a child over 4, and their household income is over $170,000, you may not qualify for the full credit, but you will receive half of the credit, that is, $500.
The changes in New York State ESCC will increase the average credit for New Yorkers from $472 to $943 through this expansion of the credit, and it is estimated to reduce child poverty in the state by 8%.
How to claim the NY ESCC refund 2026?
If you qualify for the NY ESCC refund for the 2025 tax year, you can claim it by filing the state income tax return before the tax deadline of 15 April 2026. You can file the state tax return through your ITIN or SSN, and you will also be required to provide the child’s SSN.
You can file the NY ESCC for the 2025 tax year return in the following ways:
- File the New York State Tax Form IT-213 with the NY Department of Taxation and Finance.
- You can also e-file your personal income tax return and file it easily online without any need to go anywhere or post the documents.
- If you need assistance or support in filing your income tax return, you can take the assistance through Volunteer Income Tax Assistance (VITA) sites, which is a free and IRS-sponsored program to support the elderly and low-to-middle income workers in filing the federal and state income tax returns.
Does the NY ESCC affect other credits or benefits?
No, the NY ESCC refund will not affect your other benefits or credits, such as SNAP, SSI, Medicaid, housing assistance, or others. The ESCC refund will not be counted as your income or asset for the year, so you can stay worry-free.
If you qualify for the ESCC, you should check other credits as well, such as the Earned Income Tax Credit, NY EITC, Child and Dependent Care Tax Credits, and many more.
The NY state expansion of the Empire State Child Credit will support many families and boost their purchasing power in this increasing cost of living. So, if you qualify, do not forget to claim it on your NY state tax return.