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Child and Dependent Tax Credit

Maximum Credit
- 2025-2028: $2,200 per child
- 2029: $2,000 per child
Qualifying Child
- Under age 17 at end of year
- Meets relationship test
- Is not self-supporting
- Lived with taxpayer over ½ of the year
- Claimed as the taxpayer’s dependent
- Has SSN before return due date
Dependent Credit
- $500 per dependent not a qualifying child
- Not for filer or spouse
- Nonrefundable
- SSN or ITIN acceptable
Phase-Out Thresholds are:
- $400,000 for taxpayer filing married joint;
- $200,000 for all others.
- Not inflation indexed.
Generally nonrefundable except for:
- Add’l child credit computation based on excess earned income
  - Excess Threshold: $2,500
  - Excess EI %: 15%
- Additional credit computation - 3 or more qualifying children
- Maximum refundable: $1,700 per child for 2025
Offsets AMT – The nonrefundable portion of the credit offsets AMT