What the Child Tax Credit is and who can claim it

The Child Tax Credit is a tax reduction you can claim for each child under 17 who lives with you and is a U.S. citizen, national, or resident alien. The credit reduces the federal income tax you owe — not the income you report, but the actual tax amount. For 2024, the credit is worth up to $2,000 per child.

You claim the credit on your federal tax return when you file. The IRS does not send you money automatically; you have to report the children on your return and the credit reduces what you owe. If the credit is larger than the tax you owe, you may receive the difference as a refund, but that depends on which version of the credit applies to you and your income level.

The child must be your biological child, stepchild, foster child, sibling, or descendant of any of those (such as a grandchild or niece). The child must have lived with you for more than half the year, and you must provide more than half their financial support. You need their Social Security number to claim them.

Key Takeaways

  • The Child Tax Credit for 2024 is up to $2,000 per child under 17, and you claim it on your federal tax return.
  • Your income determines whether you receive the full $2,000 or a reduced amount; the credit begins to phase out at $400,000 for married couples filing jointly and $200,000 for single filers.
  • If the credit exceeds the tax you owe, you may receive a refund, but the refundable portion (the Additional Child Tax Credit) is capped at $1,700 per child for 2024.
  • You need the child's Social Security number, proof they lived with you for more than half the year, and documentation of your relationship to claim the credit.
  • The credit is claimed on Schedule 8812 (Form 1040) when you file your federal return; you do not need to register or pre-approve with the IRS.

Income limits and how much you receive

The full $2,000 credit is available if your modified adjusted gross income (MAGI) is below a threshold that depends on your filing status. For 2024, the thresholds are $400,000 for married couples filing jointly, $200,000 for single filers, and $200,000 for heads of household. Your MAGI is usually your adjusted gross income (AGI) from your tax return.

Once your MAGI exceeds the threshold, the credit reduces by $50 for each $1,000 (or fraction thereof) over the limit. For example, if you are single with an MAGI of $201,000, you are $1,000 over the $200,000 threshold, so your credit reduces by $50 per child. If your MAGI is $201,500, the reduction is $100 per child because the IRS rounds up any partial $1,000.

The credit cannot go below zero. If the reduction brings your credit to zero, you receive nothing. The IRS publishes a worksheet in the Form 1040 instructions to calculate your exact credit based on your income.

Refundable versus non-refundable portions

Part of the Child Tax Credit is refundable, meaning you can receive it as a refund even if you owe no tax. The refundable portion is called the Additional Child Tax Credit, and for 2024 it is capped at $1,700 per child. The remaining $300 per child (up to the full $2,000) is non-refundable, so it can only reduce the tax you owe.

Here is how it works in practice: suppose you owe $500 in federal tax and you have two children, so your total credit is $4,000. The first $500 of the credit wipes out your tax liability. The remaining $3,500 is available as a refund, but only up to $3,400 (the Additional Child Tax Credit limit of $1,700 per child). You would receive a refund of $3,400.

The Additional Child Tax Credit has its own income limit. You must have earned income (wages, self-employment income, or certain other income) to claim the refundable portion. If you have no earned income, you can still claim the non-refundable $300 per child to reduce your tax, but you cannot receive a refund.

Documents and information you need to claim the credit

To claim the Child Tax Credit on your return, you need the following for each child:

  • The child's full legal name and Social Security number (SSN).
  • Proof the child lived with you for more than half of 2024 — this can be school records, medical records, lease or mortgage documents, utility bills, or a written statement from you explaining where the child lived and when.
  • Documentation of your relationship to the child if the child is not your biological child — a birth certificate, adoption papers, court order, or marriage certificate (if the child is your spouse's child).
  • Proof you provided more than half the child's financial support — receipts for food, clothing, medical care, education, housing, and other expenses you paid.

You do not file these documents with your return. The IRS keeps them in case of an audit. If you claim a child and the IRS questions it, you will need to produce this documentation to prove your claim.

How to claim the credit on your tax return

You claim the Child Tax Credit on Schedule 8812 (Form 1040), which is part of your federal tax return package. You list each child's name and SSN on the schedule, and the IRS calculates the credit amount based on your income and the number of children.

If you use tax software, the software walks you through questions about your children and automatically fills in Schedule 8812. If you file by hand, you complete the schedule yourself using the worksheet in the Form 1040 instructions. The credit then flows to your Form 1040 and reduces your total tax or increases your refund.

You file your return with the IRS by the tax deadline, usually April 15. If you need more time, you can request an extension, but the extension only delays filing — you still owe any tax due by April 15 or you will face penalties and interest.

Special situations and limits

If you are divorced or separated and share custody of a child, only one parent can claim the credit for that child in a given year. Usually, the parent with primary custody (the one the child lives with for more than half the year) claims the credit. If custody is split exactly 50-50, the parent with the higher income can claim the credit, or the parents can agree in writing that the other parent will claim it.

If you claim a child and another person (such as a grandparent or other relative) also claims the same child, the IRS will disallow one of the claims. The IRS uses a tiebreaker rule: the parent claims the credit over a non-parent, and if both are parents, the parent with whom the child lived for the longer period claims it. If you are not sure whether someone else might claim the child, contact them before you file.

The credit applies only to children under 17 at the end of 2024. A child who turns 17 on December 31, 2024, does not may have access to for the 2024 credit. A child who turns 17 on January 1, 2025, does may have access to for the 2024 credit.

Frequently Asked Questions

Can I claim the Child Tax Credit if I did not file a tax return last year?

Yes. You can file a return for 2024 even if you did not file in prior years. If your income is below the filing threshold for 2024 (which varies by age and filing status), you are not required to file, but you can file anyway to claim the credit. Filing a return is the only way to claim the credit.

What if the child's Social Security number is not yet issued?

You cannot claim the credit without the child's SSN. If the child was born in 2024 and you have not received the SSN yet, you can file your return using an Individual Taxpayer Identification Number (ITIN) as a placeholder, or you can wait until you receive the SSN and file an amended return. The IRS recommends applying for the SSN as soon as possible after birth.

Do I lose the credit if my child works and earns income?

No. The child's income does not affect your ability to claim the credit. The credit is based on your income and the number of may have access to children, not on the child's earnings. However, if the child's income is high enough, the child may be required to file their own tax return.

Can I claim the credit for a child who is not a U.S. citizen?

Only if the child is a U.S. citizen, national, or resident alien. A resident alien is generally someone with a green card or who meets the substantial presence test. If the child is a nonresident alien, you cannot claim the credit, even if the child lives with you and you provide their support.

What happens if I claim the credit and later find out I was not supposed to?

The IRS may send you a notice asking you to repay the credit plus interest. If the IRS determines you claimed the credit fraudulently, you may face penalties. If it was an honest mistake, you can file an amended return (Form 1040-X) to correct it and reduce the amount you owe.