What the Child Tax Credit is and who can claim it

The Child Tax Credit is a federal tax reduction you can claim for each child you support. The IRS subtracts it directly from the taxes you owe — not from your income. For 2025, the credit is $2,000 per child under age 17 at the end of the tax year.

You claim it on your federal tax return when you file. The credit reduces your tax bill dollar-for-dollar. If you owe $3,000 in taxes and claim one child, your bill drops to $1,000. If the credit is larger than what you owe, you may receive the difference as a refund, though there are limits on how much of the credit is refundable.

The child must be your son, daughter, stepchild, foster child, sibling, or a descendant of any of those (like a grandchild or niece). They must have lived with you for more than half the year, be a U.S. citizen, national, or resident alien, and have a valid Social Security number.

Key Takeaways

  • The 2025 Child Tax Credit is $2,000 per child under 17, claimed on your federal tax return.
  • Income limits apply: the credit begins to reduce if your modified adjusted gross income exceeds $400,000 (married filing jointly) or $200,000 (single filers).
  • Up to $1,700 of the credit per child may be refundable, meaning you can receive it even if you owe no taxes.
  • You must provide the child's Social Security number and prove they lived with you for more than half the year.
  • The credit amount and refundable portion can change year to year, so check the IRS website or your tax software for the current year's rules.

Income limits and how the credit phases out

The Child Tax Credit does not apply to all income levels. If your income is above a certain threshold, the credit shrinks by $50 for every $1,000 (or fraction thereof) over the limit.

For 2025, the income thresholds are $400,000 if you file as married filing jointly, $200,000 if you file as single, head of household, or may have access to widow(er), and $200,000 if you file as married filing separately. Your income for this purpose is your modified adjusted gross income (MAGI), which is usually the same as your adjusted gross income (AGI) shown on your tax return.

Example: If you file single with one child and your MAGI is $210,000, you are $10,000 over the $200,000 threshold. The credit reduces by $50 (one increment of $1,000), so instead of $2,000, your credit is $1,950.

How much of the credit you can get back as a refund

Part of the Child Tax Credit is refundable, meaning the IRS can send it to you as a refund even if you owe no federal income tax. The refundable portion is called the Additional Child Tax Credit or the Refundable Child Tax Credit.

For 2025, up to $1,700 per child is refundable. The rest of the $2,000 credit is non-refundable, so it can only reduce the taxes you owe. If you owe $500 in taxes and claim one child, the $2,000 credit wipes out your $500 bill, but you do not receive the remaining $1,500 — unless you may have access to for the refundable portion.

To receive the refundable portion, you must have earned income (wages, self-employment income, or certain other income) of at least $2,500 in 2025. The refundable amount is the smaller of $1,700 per child or 15% of your earned income over $2,500.

Example: If you earned $10,000 and have one child, 15% of ($10,000 − $2,500) = $1,125. You can receive up to $1,125 as a refund, even if you owe no taxes. The remaining $875 of the $2,000 credit can only reduce taxes you owe.

How to claim the credit on your tax return

You claim the Child Tax Credit by filing a federal tax return, even if you normally would not have to file. You will need each child's full name, date of birth, and Social Security number. The IRS matches these to their records, so they must be exact.

On your return, you list each may have access to child and their information on Schedule 8812 (if you are claiming the refundable portion) or directly on the main return form, depending on your situation and the form you use. Tax software walks you through the questions and fills in the right schedules automatically.

You file your return with the IRS by the annual deadline, usually April 15. If you file electronically, you typically receive any refund within 21 days. If you mail a paper return, it takes longer.

What documents you need to have ready

Before you file, gather the following for each child you are claiming:

  • Full legal name (as it appears on their Social Security card)
  • Date of birth
  • Social Security number
  • Proof they lived with you for more than half the year (lease, school records, medical records, or a written statement)

You do not send these documents to the IRS when you file, but you must keep them in case the IRS asks for proof later. The IRS may request documentation if the information on your return does not match their records or if they audit your return.

If a child does not have a Social Security number, you cannot claim the credit for that child. You can apply for a Social Security number through the Social Security Administration, but the number must be issued before you file your return to claim the credit for that year.

Changes to the credit from previous years

The Child Tax Credit has changed several times in recent years. From 2021 to 2025, the credit was $2,000 per child. Before 2021, it was also $2,000, but the refundable portion was capped at $1,400 per child (not $1,700).

In 2021 and 2022, the credit was temporarily expanded and partially paid out in advance monthly payments to families who met income requirements. Those advance payments ended in 2023, and the credit returned to the standard $2,000 amount claimed on your tax return.

Congress can change the credit amount, income limits, and refundable portion in future years. The rules described here apply to the 2025 tax year (returns filed in 2026). Check the IRS website or your tax software each year for updates.

Frequently Asked Questions

Can I claim the credit for a child who does not live with me full-time?

The child must live with you for more than half the year. If you share custody and the child lives with you for exactly half the year, you do not meet the requirement. The parent with whom the child lives for the greater number of nights usually claims the credit, though parents can agree to let the other parent claim it.

What if I have a child with a Social Security number from another country?

The child must have a valid U.S. Social Security number or Individual Taxpayer Identification Number (ITIN). A Social Security number from another country does not count. You can apply for a U.S. Social Security number through the Social Security Administration.

Do I lose the credit if my income goes up during the year?

The credit is based on your income for the entire tax year. If your income rises above the threshold by year-end, the credit phases out. You do not lose it entirely unless your income is very high, but it shrinks by $50 for every $1,000 over the limit.

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 usually affects adult children living with parents. Check with the person claiming you before you file.

What happens if the IRS says my child's information does not match their records?

The IRS will contact you by mail if there is a mismatch. Do not ignore the letter. Respond with proof of the child's identity and relationship to you. If you cannot resolve it, you may need to amend your return or work with a tax professional to correct the information.