Tax season is here, and millions of parents across the U.S. are asking the same question: How much will I get from the Child Tax Credit (CTC) in 2025? For many families, this credit is a game-changer, offering financial relief and boosting refunds. Here’s what you need to know to claim the maximum benefits this year.
How Much Can You Get per Child?
For the 2025 tax year, eligible parents can receive up to $2,000 for each qualifying child under 17. The credit amount hasn’t changed from previous years, making it a steady source of support. However, there are important details about refunds and income thresholds you’ll want to pay attention to.
Refundable Portion: How It Works
Even if you don’t owe federal income tax, you could still be eligible for a refund thanks to the Additional Child Tax Credit (ACTC). The ACTC allows families to get up to $1,700 per child as a refund. This means if your tax liability is lower than the $2,000 credit, the ACTC steps in and gives you cash back.
Income Limits: Are You Eligible for the Full Credit?
Not everyone qualifies for the full $2,000 per child. The credit starts to phase out for families with higher incomes:
- $200,000 for single parents or heads of household
- $400,000 for married couples filing jointly
If your income exceeds these limits, the credit is reduced by $50 for every $1,000 over the threshold.
Who Qualifies for the Child Tax Credit?
To be eligible, you and your child must meet the following criteria:
- Age Requirement: Your child must be under 17 at the end of 2025.
- Relationship: The child must be your son, daughter, stepchild, foster child, or closely related (like a grandchild or niece/nephew).
- Support Test: The child must rely on you for more than half of their financial support.
- Residency: They must live with you for over half of the year.
- Dependent Status: You must list them as a dependent on your tax return.
- Citizenship Requirement: They need a valid Social Security Number issued before the tax return deadline.
How to Claim Your Credit
To claim the CTC and any refunds:
- File IRS Form 1040 (the standard individual tax return).
- Include Schedule 8812 (to calculate the credit and any refunds owed).
Make sure your forms are filled out correctly—errors can delay your refund.
Possible Changes on the Horizon
One thing to keep an eye on is potential legislative changes. The expanded benefits introduced in 2021 are no longer in effect, but unless Congress acts, the CTC could drop back to $1,000 per child after 2025. Staying updated on any changes could help you maximize benefits in the future.
Final Takeaway
The Child Tax Credit offers up to $2,000 per child in tax relief, with a refundable portion of up to $1,700. Whether you owe taxes or not, this credit could provide a significant boost to your refund. Don’t miss out—double-check your eligibility and file on time to get what you’re owed!
