IRS Child Tax Credit
The Child Tax Credit (CTC) for each qualifying child is up to $1,000 depending on the taxpayer’s adjusted gross income.
The additional child tax credit (ACTC) on Schedule 8812 is refundable to the extent of 15% of the taxpayer’s earned income in excess of $3,000. A refundable ACTC may be available to those who qualify and have not used up the available CTC amount. A military taxpayer’s nontaxable combat pay may be added to the earned income which may result in a larger credit.
What constitutes a qualifying child?
- The child must be under age 17 at the end of 2013
- The child must be a son, daughter, adopted child, stepchild, eligible foster child, brother, sister, stepbrother, stepsister, or descendent of any of those
- US citizen or resident alien
- Lived with you over half the year in 2013
- Is claimed as your dependent for 2013
- Did not provide over half their own support
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 IRS Child Tax Credit, click on IRS Publication 972, Child Tax Credit.