What is Child Tax Credit?
What is child tax credit?
A child tax credit is a nonrefundable tax
credit that a taxpayer may be entitled to when there is a
qualifying child. Unlike other tax credit, a taxpayer can be
married and filing separately and still be eligible to claim
the child tax credit if the qualifications for child tax credit
What is the maximum for claiming child tax
The maximum for the child tax credit that a
tax payer can claim is $1,000 for each
What happens if the child tax credit is
more than the tax?
If the child tax credit is more than the tax
owed, then since the child tax credit is nonrefundable, the
taxpayer may be able to take the additional child tax credit
which is refundable.
Who is a qualifying child eligible for
child tax credit?
A qualifying child is:
the taxpayer's child including:
son, daughter, stepdaughter, stepson
eligible foster child
brother, sister, stepbrother, stepsister
of the one of the above listed relatives
including grandchild, niece or nephew
under age 17 at year end
a US citizen, US national or US resident
did not provide more than half of his or her own
support during the year
lived with the taxpayer for more than half the year
What if the child is a qualifying child for more than one
Only one person can claim the child as a
qualifying child for all the following tax benefits unless the
parents are divorced, separated, or never married.
- head of household filing status
- dependency exemption
- credit for child and dependent care expenses
- child tax credit
- additional child tax credit
- earned income credit
What is the phase out amount for child tax credit?
of household, qualifying widow(er)