Children and Taxes

children and taxes

Independently from your annual tax return, you can use many free eFile.com tax calculators and tools to not only find out if you qualify for child related tax credits, but also estimate the amounts based on your income, filing status, and more. These free tools use IRS data to help you plan your next tax return. Find more resources on various dependent-related tax credits using the links below which are also found in the table.

The following credits and deductions should be considered when it comes to a child or children and your income taxes. The eFile Tax App will guide you through simple tax questions where your answers will apply all credits and deductions that you qualify for to your return.

Child Related Tax Questions and Answers

When you file your taxes, claiming dependents is one of the most effective ways to save money on your return. Use the table below to navigate to various child or dependent tax savings pages.

Child Related Tax Savings
The tax refund calculator includes the Child Tax Credit for estimating purposes. The maximum CTC is $2,000 which can be claimed on your tax return via Schedule 8812 if you have income under $200,000 or $400,000 for married filing jointly. See if you qualify for the CTC - eFile.com will figure your credit for you as you enter information.
The Additional Child Tax Credit is fully refundable - this means you may be able to create a refund or add this additional amount to your already existing tax refund. For all years excluding 2021, the Additional CTC is the only portion of the Child Tax Credit that is refundable and it can only be claimed with earned income.
The Child and Dependent Care Expense Credit or CDCC serves to offset some of the costs of paying for childcare so the parent or parents can work or look for work. You may be eligible to claim up to $2,100 based on how much you spent on childcare and the amount of dependents you claim. Determine your eligibility for the CDCC with this free tool.
A qualifying dependent on your taxes is often a child of yours, but can also be a relative or other child you may take care of. Learn if you can claim your son, daughter, niece, nephew, step-child, or other person on your taxes.
The Credit for Other Dependents can be claimed on a tax return if you claim a dependent who is over age 17 and does not qualify you for other dependent tax credits. This tax credit is nonrefundable and is worth up to $500.
If your dependent goes to college, you may be eligible for certain education savings on your tax return. You can also invest in different accounts to prepare for college payments that may save you money come tax time.
As a moderate-to-low income taxpayer, you can generally claim the EITC. If you have dependents, your EITC greatly increases based on the number of dependents on your tax and your earned income. Calculate your EITC for free here.
The 2021 Tax Refund Calculator includes the enhanced CTC amounts which were made fully refundable for 2021 only - to claim the Child Tax Credit on your taxes for any other year, you will need to have earned income. The maximum CTC for 2021 was $3,600 per dependent which can be claimed on your tax return via Schedule 8812.

Children or dependents on your income taxes can save you money. Learn what to do if someone wrongly claimed a dependent of yours. File your taxes on time and claim any dependents you are qualified to file for by indicating their relation to you on your return. When you use eFile.com to file your taxes online, we will help you input this information and generate all the necessary forms to maximize your next tax refund.

Publication 972 give you more in depth overview of the Child Tax Credit and other dependent information. See more details on the Child and Dependent Care Credit as well as the Earned Income Tax Credit.

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