IRS Child Tax Credit

When Congress passed the Working Families Tax Relief Act, they wanted to give taxpayers with children a break on taxes. The result was a Child Tax Credit for each qualifying child. The amount per child is up to $1,000 depending on the taxpayer’s adjusted gross income.

What constitutes a qualifying child?

• The child must be under age 17 at the end of 2007
• The child must be a son, daughter, adopted child, stepchild, eligible foster child, sibling or descendent of any of those
• US citizen or resident alien
• Lived with you over 6 months in 2007

What are the adjusted gross income limits of the taxpayers claiming the Child Tax Credit?

• $110,000 if you’re married filing jointly
• $55,000 for those married, filing separately
• $75,000 all other filing options

To be sure you qualify to take the Child Tax Credit, click on IRS Publication 972, Child Tax Credit, or visit your nearest Liberty Tax office.