The Child Tax Credit gives you up to $2,000 per child under age 17

The Child Tax Credit reduces the federal income tax you owe, dollar for dollar. For the 2024 tax year, you can claim up to $2,000 for each child under 17 at the end of that year. The credit phases out if your income exceeds certain thresholds — $400,000 for married couples filing jointly, $200,000 for single filers. If the credit is larger than the tax you owe, you may receive the difference as a refund, though the refundable portion has its own limit.

The exact amount you receive depends on your income, how many children you have, and whether you file taxes jointly or as a single filer. A child must be your biological child, stepchild, adopted child, or foster child, and you must claim them as a dependent on your tax return. They must have a valid Social Security number and be a U.S. citizen, national, or resident alien.

Key Takeaways

  • The credit is $2,000 per child under 17 for the 2024 tax year, but the amount you actually receive depends on your income and tax liability.
  • If your income is above $400,000 (married filing jointly) or $200,000 (single), the credit begins to reduce by $50 for each $1,000 over the limit.
  • The refundable portion of the credit — money you get back if it exceeds what you owe — is capped at $1,700 per child for 2024.
  • You must claim the child as a dependent and provide their Social Security number to receive any credit.
  • The credit amount changes each year; the $2,000 figure applies to 2024 and may differ for other tax years.

How the credit reduces as your income rises

Once your income passes the threshold for your filing status, the credit shrinks. For every $1,000 (or fraction of $1,000) your income exceeds the threshold, the credit drops by $50. If you are married filing jointly and earn $410,000, you are $10,000 over the $400,000 threshold. That means your credit reduces by $500 — $50 for each $1,000 over — bringing it from $2,000 down to $1,500 per child.

The calculation uses your modified adjusted gross income (MAGI), which is usually your adjusted gross income from your tax return. You will see this number on your Form 1040. If you are unsure whether your income will trigger the phase-out, you can estimate it using your recent pay stubs and any other income sources.

The difference between the full credit and the refundable portion

The Child Tax Credit has two parts: the non-refundable portion and the refundable portion. The non-refundable portion reduces your tax bill but cannot result in a refund if it exceeds what you owe. The refundable portion — called the Additional Child Tax Credit — can be refunded to you even if you owe no tax.

For 2024, up to $1,700 of the credit per child is refundable. This means if you owe $500 in federal tax and have a $2,000 credit for one child, you will pay zero tax and receive a refund of up to $1,500 (the remaining $500 of the credit, capped at the refundable limit). The exact refundable amount depends on your earned income and filing status.

What income counts toward the phase-out threshold

The phase-out is based on your modified adjusted gross income (MAGI), which for most people is the same as your adjusted gross income (AGI). Your AGI includes wages, self-employment income, interest, dividends, rental income, and other sources. It does not include certain items like tax-exempt interest or nontaxable Social Security benefits.

If you are married and file separately, each spouse has a $200,000 threshold instead of the $400,000 joint threshold. This is a significant penalty for married couples who file separately, so most should file jointly if they are married.

How many children can you claim the credit for

You can claim the credit for each child under 17 who meets the requirements. If you have three children under 17, you can claim up to $6,000 in credits (before any phase-out). The child must be your dependent, have a valid Social Security number, and be a U.S. citizen, national, or resident alien. Grandchildren, nieces, nephews, and other relatives can may have access to if you claim them as dependents and meet the relationship and residency tests.

A child ages out of the credit on the year they turn 17. If a child turns 17 on December 31, 2024, you cannot claim the credit for them on your 2024 return. If they turn 17 on January 1, 2025, you can still claim it for 2024.

Tax year changes and future amounts

The $2,000 per-child amount and the $1,700 refundable limit are set for 2024. These figures have changed in the past and may change in the future depending on tax law. The credit was $2,000 per child for 2018 through 2024, but it was scheduled to drop to $1,600 per child starting in 2026 under current law, though Congress could change this.

When you file your 2024 taxes in early 2025, use the 2024 amounts. If you are planning ahead for a future year, check the IRS website or a tax professional for that year's credit amount, as it may differ.

Frequently Asked Questions

Do I have to file taxes to get the Child Tax Credit?

You must file a federal tax return to claim the credit, even if you have no tax liability. If you have earned income, you may be able to receive the refundable portion (Additional Child Tax Credit) only by filing. If you have no income, you generally do not need to file, but filing may result in a refund.

What if my child does not have a Social Security number yet?

Your child must have a valid Social Security number by the time you file your return. If your child was born late in the year and does not yet have a number, you can request one from the Social Security Administration. You cannot claim the credit without the number on your return.

Can I claim the credit if I am claimed as a dependent on someone else's return?

No. If another person claims you as a dependent on their return, you cannot claim the Child Tax Credit for your own children. This often affects young parents who are still claimed by their own parents. You must not be claimed as a dependent to claim the credit.

Does the credit change if I get married or divorced during the year?

Your filing status on December 31 of the tax year determines your threshold and filing status for the entire year. If you marry on December 31, 2024, you are considered married for the full 2024 tax year and use the $400,000 threshold. If you divorce during the year, you use single filer status and the $200,000 threshold.

What if my income is below the threshold but I still owe no tax?

You can still receive the refundable portion of the credit. The refundable portion depends on your earned income and filing status, not on whether you owe tax. Even if you owe zero federal tax, you may receive a refund up to the refundable limit per child.