Do You Qualify for the Child Tax Credit?
The Child Tax Credit is intended to help offset the tremendous costs of raising a child or children. If you qualify, the credit can be worth up to $2,000 per child for Tax Year 2018-2025.
In most cases, a tax credit is better than a tax deduction. A credit directly reduces your tax bill dollar-for-dollar, but a deduction only reduces your taxable income.
Our KIDucator tax educator tool below will help you find out if your child or dependent qualifies you to claim the Child Tax Credit on your tax return. Just answer the "Yes" and "No" questions until the KIDucator provides you with an answer!
Can You Receive Any of Your Child Tax Credit as a Refund?
If your taxes owed are reduced to $0 and you still have some Child Tax Credit left over, you may be able to receive some or all of it as a tax refund by claiming the Additional Child Tax Credit. Be aware that for Tax Years 2018-2025, the maximum refundable portion of the credit is $1,400 (equal to 15% of earned income above $2,500). Therefore, if you tax is $0 and your total earned income is at least $2,500, you can claim the refundable part of the credit.
Child Tax Credit Qualifications
You can claim the Child Tax Credit if your income is not too high (see the income limitations for the Child Tax Credit), and if you have a child or children who qualify you. Use the KIDucator above to find out if your child qualifies you to claim the credit. Our KIDucator is a multi-year tool so you can use it for previous years' tax returns as well!
See all of the requirements for the Child Tax Credit.
Dependents who can’t be claimed for the Child Tax Credit may still qualify you for the Credit for Other Dependents. This is a non-refundable tax credit of up to $500 per qualifying person. The qualifying dependent must be a U.S. citizen, U.S. national, or U.S. resident alien. You can use our DEPENDucator tool to see if your dependent qualifies for this credit.
How to Claim the Child Tax Credit
It's easy to claim the Child Tax Credit (and the Additional Child Tax Credit) when you prepare your tax return on eFile.com! We will automatically determine if you qualify for the credit based on the information you enter. If you qualify to claim the credit, we will then calculate the amount of your credit and will fill out the correct forms for you to get your maximum credit.
Once you have determined if you can claim the Child Tax Credit, use the FREE Tax Calculator, or "TaxStimator", to calculate and estimate your tax refund (or taxes owed) for the current Tax Year. Then, start a free eFile.com account and start preparing your tax return!
Need more tax help? Ask FREE Tax Questions!