Families with children in the United States who meet certain income requirements and who have not yet filed their tax return may qualify for the Child Tax Credit (CTC) and its refundable portion, the Additional Child Tax Credit (ACTC).
For tax year 2025, the credit can reach $2,200 for each qualifying child, while the portion paid in cash will reach $1,700 per child.
For families that have not yet filed their 2025 tax return, they have a maximum of 3 years to claim the money from this credit. For example, those with 4 eligible children could receive up to $6,800 in hand.
When a child is considered eligible for this credit
For a child to be considered eligible, they must meet a set of conditions related to age, relationship, residency, and tax status.
The main requirements are
- Be under 17 years old at the end of the tax year
- Be a son, daughter, stepchild, sibling, half-sibling, or certain descendants of these persons
- Have not provided more than half of their own support during the year
- Have lived with the taxpayer for more than half the year
- Be claimed as a dependent on the tax return
- Not file a joint return, except for certain exceptions tied to a tax refund
- Be a U.S. citizen, U.S. national, or resident alien
It is important to note that both the taxpayer and each eligible child must have a valid Social Security number.
How the credit works
The CTC can reach up to $2,200 for each eligible child, and within this benefit, the ACTC can reach up to $1,700 per child, although this will be subject to income and tax circumstances.
Parents with an annual income of $200,000, or $400,000 in the case of married couples filing jointly, will receive the full amount. Above these limits, in either case, the credit is partial.