Child tax credit and Dependent

Forum|Forum|1 year ago
January 29, 2025
2 replies
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Why did I get a small amount for Child Tax Credit this year? Also I’m head of household income is between $45,000-$60,000 is it best to claim 0 or 1 dependent in order to a bigger payout when filling taxes.

Ask the Experts - Family Tax II - Jan 2025

Best answer by RobertB4444

The child tax credit is $2000 for every child that qualifies. So it should be the same for everyone.

What you may mean is why did I receive less than that as a refundable amount? The refundable portion of the child tax credit is less as you earn more money so that could be a reason. It's also possible that your withholding changed at work so your tax bill was higher which would reduce the amount available to refund to you.

The lower the number of dependents the more tax they take out. The more tax they take out the bigger your refund. So zero dependents is better than one if what you want is a bigger refund.

@Flowers111

RobertB4444Answer

The child tax credit is $2000 for every child that qualifies. So it should be the same for everyone.

The lower the number of dependents the more tax they take out. The more tax they take out the bigger your refund. So zero dependents is better than one if what you want is a bigger refund.

@Flowers111

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xmasbaby0

Employee

We cannot see your tax return so we cannot explain the amount of your CTC. Did a child turn 17? You lose the CTC when they turn 17 and you get the $500 credit for other dependents instead.

If you do not list all the dependents on your W-4 then more tax will be withheld from your paychecks resulting a bigger refund (or less tax owed).

https://turbotax.intuit.com/tax-tools/calculators/w4/

https://www.irs.gov/individuals/tax-withholding-estimator

https://www.irs.gov/pub/irs-pdf/fw4.pdf

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

DaveF1006

It depends on if your child reached the age of 17 during the tax year. IRS regulations state that a qualifying child can be claimed for the Child tax Credit if that child:

Be under 17 at the end of the tax year.
Be your son, daughter, stepchild, eligible foster child, brother, sister, stepbrother, stepsister, half-brother, half-sister, or a descendant of one of these (for example, a grandchild, niece or nephew).
Not provide more than half of his or her own support for the tax year.
Have lived with you for more than half the tax year.
Be claimed as a dependent on your return.
Not file a joint return for the year (or filed the joint return only to claim a refund of taxes withheld or estimated taxes).
Be a U.S. citizen, U.S. National or a U.S. resident alien.
Must have a Social Security Number that is valid for employment and is issued before the due date of your tax return (including extensions).

You qualify for the full amount of the 2024 Child Tax Credit for each qualifying child if you meet all eligibility factors and your annual income is not more than $200,000 ($400,000 if filing a joint return).

Child Tax Credit

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