How to Get the Child Tax Credit and Claim It on Your Taxes

The Child Tax Credit (CTC) helps families reduce their federal tax burden by providing financial relief to eligible parents or guardians. Claiming this credit correctly can significantly impact your tax return.

Income Threshold

The amount you receive depends on your income. For 2024, the full credit is available to single filers with a modified adjusted gross income (MAGI) of $200,000 or less and married couples filing jointly with a MAGI of $400,000 or less. Beyond these limits, the credit is reduced by $50 for every $1,000 over the threshold.

For example, a married couple with a MAGI of $420,000 would see their credit reduced by $1,000 ($50 x 20). If eligible for a $2,000 credit per child, they would receive only $1,000 per child. Higher-income households may lose the credit entirely.

The credit is partially refundable, meaning you may still receive a refund through the Additional Child Tax Credit (ACTC) even if you owe little to no federal income tax. To qualify for this refundable portion, you must have at least $2,500 in earned income. The refundable amount is 15% of earnings above this threshold, up to a maximum of $1,600 per child for 2024.

Qualifying Dependents

To claim the credit, a child must meet IRS eligibility criteria. They must be your son, daughter, stepchild, foster child, sibling, half-sibling, or a descendant such as a grandchild or niece.

For 2024, the child must be under 17 at the end of the year. They must have lived with you for more than half the year (at least 183 days). Temporary absences, such as school attendance or medical care, do not count against this requirement. If a child splits time between divorced or separated parents, only one parent can claim the credit, typically the custodial parent unless a written agreement states otherwise.

The child cannot provide more than half of their financial support during the year. If they earn income, it must not cover the majority of their living expenses. The IRS evaluates support based on housing, food, medical care, and education.

Filing a Claim

Claiming the credit requires filing a federal tax return, even if you don’t owe taxes. The credit is applied on Form 1040, and Schedule 8812 must be completed to determine eligibility, including any refundable portion.

Taxpayers must provide the Social Security number (SSN) of each qualifying child. The SSN must be issued before the tax return deadline, including extensions. If a child has an Individual Taxpayer Identification Number (ITIN) or Adoption Taxpayer Identification Number (ATIN) instead of an SSN, the credit cannot be claimed.

Electronic filing is the fastest and most secure way to submit a return. The IRS processes e-filed returns faster than paper filings, and direct deposit speeds up refunds. Using IRS Free File or authorized tax software helps avoid common mistakes that cause processing delays.

Those eligible for both the Earned Income Tax Credit (EITC) and Child Tax Credit should note that refunds may be delayed until mid-February due to IRS fraud prevention measures.

Amending a Return

If an error is found after filing, submit an amended return using Form 1040-X. This allows corrections to previously reported income, filing status, or overlooked credits. Some amended returns must be mailed, which can take up to 20 weeks to process.

Amendments are generally allowed within three years of the original filing deadline or two years from the date the tax was paid, whichever is later. Missing this window forfeits any additional refund. If changes affect other parts of the return, update all relevant sections to ensure accuracy and avoid audits.

If an amendment results in additional tax owed, penalties and interest may apply. Interest is calculated from the original due date, so delaying payment increases the total amount owed. If the IRS made an error, such as misapplying a payment, contacting the agency before filing an amendment may resolve the issue without needing revised paperwork.

Documentation Requirements

Proper documentation supports a Child Tax Credit claim and helps prevent IRS audits or delays. Maintain records proving income and the child’s eligibility for at least three years after filing.

Proof of the child’s identity and relationship is required. A birth certificate, adoption papers, or court documents confirm the relationship, while school records, medical statements, or residency affidavits establish residency. The IRS may also request Social Security card copies. If a child splits time between parents, a signed Form 8332 or similar agreement may be needed.

Income verification is also necessary, particularly for the refundable portion of the credit. Pay stubs, W-2 forms, or self-employment tax filings substantiate earnings. Self-employed taxpayers should keep detailed records of business income and expenses. Having organized documentation readily available can prevent delays and penalties.