Do you qualify for the child tax credit? Check here

Tamara Walker, Asbury Park Press
·2 min read

The Internal Revenue Service marked Feb. 27 as the day to expect your return for early taxpayers who claimed both the Earned Income Tax Credit (EITC) and Additional Child Tax Credit (ACTC) this tax season.

Whether you filed early or not, by law the IRS cannot issue refunds that include EITC or ACTC refunds before mid-February.

So if you were waiting for this date and will be claiming child tax credits, here is everything you need to know before you file.

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What are the child tax credits?

There are two child tax credits parents can claim — the Earned Income Tax Credit (EITC) and the Additional Child Tax Credit (ACTC). Both credits help families with qualifying children's tax breaks.

  • The (EITC) is for low- to moderate-income families that can reduce the taxes you owe and maybe increase your refund.

  • The Child Tax Credit is for families with qualifying children to get a tax break, according to the IRS.

What is the tax credit per child?

The maximum amount per qualifying child is $2,000 and ages out at 17 years, and the refundable credit a taxpayer may receive for each qualifying child is $1,600.

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Who qualifies for a child tax credit?

To qualify for the EITC, taxpayers, parents and guardians' earned income should be low to moderate, under $63,398 with qualifying children.

Taxpayers who claim the CTC will qualify if their annual income is not more than $200,000 ($400,000 if filing a joint return), and their dependent has a Social Security number that is valid for employment and other requirements such as:

  • Be under the age of 17 at the end of the year

  • Be your son, daughter, stepchild, eligible foster child, brother, sister, stepbrother, stepsister, half-brother, half-sister, or a descendant of one of these (for example, a grandchild, niece or nephew)

  • Provide no more than half of their own financial support during the year

  • Have lived with you for more than half the year

  • Be properly claimed as your dependent on your tax return

Parents and guardians with higher incomes may be eligible to claim a partial credit according to the IRS.

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This article originally appeared on Asbury Park Press: Child tax credit 2024: What you need to qualify for it