The 2023 Child Tax Credit amount and who receives it

The Child Tax Credit for 2023 is $2,000 per child under age 17. This is the amount you can subtract from your federal income tax bill if you meet the income and relationship requirements. The credit does not change based on how many children you have — it is $2,000 for one child and $2,000 for each additional child.

The credit is not the same as a refund. If the credit is larger than the tax you owe, you may receive the difference back, but only up to $1,700 per child. That refundable portion is called the Additional Child Tax Credit, and it has its own rules about how much you can actually receive.

You claim the credit on your federal tax return using Form 1040 and Schedule 8812. You do not need to do anything during the year — you claim it when you file your taxes, usually by April 15 of the following year.

Key Takeaways

  • The credit is $2,000 per child under 17 for the 2023 tax year, claimed when you file your 2023 return in 2024.
  • Your income must be below certain thresholds ($400,000 for married filing jointly, $200,000 for single filers) or the credit begins to reduce.
  • The child must be your son, daughter, stepchild, foster child, sibling, or descendant of any of these, and have a valid Social Security number.
  • If the credit exceeds your tax bill, you may receive up to $1,700 per child as a refund through the Additional Child Tax Credit.
  • You claim the credit on your tax return; there is no separate application or monthly payment for 2023.

Income limits that reduce the credit

The $2,000 credit begins to shrink if your income is above a certain level. For 2023, those thresholds are $400,000 for married couples filing jointly, $200,000 for single filers, and $200,000 for heads of household. If your income exceeds these amounts, the credit reduces by $50 for every $1,000 (or fraction of $1,000) over the limit.

For example, if you are single with income of $210,000, you are $10,000 over the $200,000 threshold. That means your $2,000 credit per child reduces by $500 (10 × $50), leaving you with $1,500 per child. The reduction applies to each child, so a family with two children would lose $1,000 total.

You calculate the reduction yourself on Schedule 8812 when you file your return. The IRS does not notify you in advance that your credit will be reduced — it is your responsibility to account for it.

Who the child must be and what documents you need

The child must be your son, daughter, stepchild, adopted child, foster child, or a descendant of any of these (such as a grandchild). The child must also have lived with you for more than half the year, be under age 17 at the end of 2023, and be a U.S. citizen, national, or resident alien.

You must have a valid Social Security number for the child to claim the credit. If the child does not have one, you cannot claim the credit for that child. You do not submit the Social Security number with your return, but you must enter it on Form 1040, and the IRS matches it against Social Security Administration records.

You also need to be able to claim the child as a dependent on your return. If another person (such as an ex-spouse) has the right to claim the child, you cannot claim the credit, even if you pay for most of the child's support. This is a common source of disputes in shared custody situations.

The refundable portion: Additional Child Tax Credit

If your $2,000 credit per child is larger than the federal income tax you owe, you normally would not receive the extra money. However, the Additional Child Tax Credit allows you to receive up to $1,700 per child as a refund, even if you owe no tax.

To receive the Additional Child Tax Credit, you must have earned income during 2023 — wages, self-employment income, or certain other forms of work income. If you had no earned income, you cannot claim this refundable portion. The amount you can receive is the smaller of $1,700 per child or 15 percent of your earned income above $2,500.

For example, if you earned $20,000 and have one child, your Additional Child Tax Credit would be the smaller of $1,700 or 15 percent of ($20,000 − $2,500) = $2,625. In this case, you would receive $1,700. You claim this on Schedule 8812 when you file your return.

How the credit works if you have multiple children

Each child under 17 generates a separate $2,000 credit. A family with three children can claim up to $6,000 in credits (before any income-based reduction). The credits stack — you do not choose which children to claim or split the credit among them.

If your income is high enough to trigger a reduction, the reduction applies to your total credit, not to individual children. For instance, if you have two children and your income is $10,000 over the threshold, your total credit of $4,000 reduces by $500, leaving you with $3,500 to claim against your tax bill.

The Additional Child Tax Credit also applies per child. If you have two children and may have access to for the refundable portion, you can receive up to $1,700 for each child, or $3,400 total, subject to the earned income calculation.

How to claim the credit on your tax return

You claim the Child Tax Credit on Form 1040 (the main federal income tax form) and provide details on Schedule 8812. On Schedule 8812, you list each child's name, Social Security number, relationship to you, and the number of months the child lived with you during 2023.

You then calculate any income-based reduction and the Additional Child Tax Credit on the same schedule. The final credit amount transfers to Form 1040, where it reduces your total tax bill. If the credit exceeds your tax, the refundable portion (up to $1,700 per child) appears as a refund on your return.

You file these forms with your tax return by April 15, 2024, or by the extended deadline if you request an extension. You do not need to send any documents with your return — the IRS may ask for proof of the child's relationship or residency later if they have questions.

What changed from 2022 to 2023

The credit amount itself did not change from 2022 to 2023 — it remained $2,000 per child. The income thresholds and the refundable portion also stayed the same. The main difference is that 2023 had no advance monthly payments, unlike 2021 and part of 2022, when the IRS sent payments directly to families.

For 2023, you receive the entire credit only when you file your tax return. There is no separate application, no monthly deposit, and no need to track payments throughout the year. You simply claim it on your return like you would any other tax credit.

Frequently Asked Questions

Can I claim the credit if the child does not have a Social Security number yet?

No. The child must have a valid Social Security number, and you must enter it on your return. If you are expecting a number soon, you can file your return using an Individual Taxpayer Identification Number (ITIN) temporarily, but you will need to amend your return once the Social Security number arrives. Many families wait until they have the number before filing.

What if I share custody and both parents want to claim the child?

Only one parent can claim the credit per child per year. Usually, the parent who has custody for more than half the year claims it. If you share custody equally, you can agree to alternate years, or the parent with the higher income can claim it. The other parent cannot claim the credit for that child. If both parents claim the same child, the IRS will disallow one of the claims and may assess penalties.

Do I lose the credit if I did not file taxes in 2022?

No. The credit is based on your 2023 income and situation, not on whether you filed in prior years. If you had income in 2023 and meet the other requirements, you can claim the credit on your 2023 return even if you did not file in 2022. However, if you owe back taxes, the IRS may use your refund to pay them.

What if my income is exactly at the threshold?

If your income is exactly at the threshold (for example, exactly $200,000 as a single filer), you do not trigger a reduction. The reduction only begins when your income exceeds the threshold. Once it does, even by $1, the reduction starts.

Can I claim the credit for a grandchild or niece I support?

Yes, if the child lived with you for more than half the year and you can claim them as a dependent. The child must also be under 17 and have a valid Social Security number. The relationship must be clear — for example, the child's parents must have given you custody or the child must be your legal dependent. You cannot claim the credit simply because you provide financial support.