The Child Tax Credit (CTC) for tax year 2025 in the United States offers up to $2,000 per qualifying child, of which up to $1,700 may be refundable under certain conditions.
Key requirements include household income limits of $200,000 for single filers and $400,000 for married couples filing jointly. Additionally, children must be under 17 years of age. To claim the credit, Form 1040 and, if applicable, Schedule 8812 must be used.
How to access the CTC: It is not easy, but it is possible
A key detail is the minimum earned income requirement of $2,500 to access the refundable portion. This limits the benefit for families without sufficient earned income, according to current regulations.
The CTC reduces tax debt for families with dependents. In 2025, the maximum credit is $2,000 per child, of which $1,700 is refundable if income thresholds are met. This allows you to receive a refund even if there are no tax obligations, as long as there is documented earned income.
To qualify, the child must be under 17 years old, live with the taxpayer more than half the year and have a valid Social Security number. The dependency and citizenship of the minor are also mandatory requirements.
The CTC requires that the child be the biological, adopted child, brother, or grandson of the taxpayer. You must provide less than half of your support and be claimed as a dependent. The taxpayer must have a Social Security or ITIN and not be dependent on another filer.
Family income determines the credit reduction: $50 less for every $1,000 above $200,000 (for singles), or above $400,000 for married people. This eliminates the benefit by $240,000 and $440,000, respectively.
Reimbursable amounts and calculations
The Additional Child Tax Credit (ACTC) allows you to receive up to $1,700 per child. It is calculated as 15% of income exceeding $2,500, with a maximum of $1,700. To obtain the full amount, income must exceed $13,834, according to IRS formulas.
Schedule 8812 is necessary to claim ACTC. Tools like TurboTax or IRS Free File make the process easier, especially for low incomes. Refunds are delayed until mid-February if this credit is included.