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Home » News » What is the income limit to be eligible for the Child Tax Credit for 2025?

What is the income limit to be eligible for the Child Tax Credit for 2025?

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The Child Tax Credit (CTC) income thresholds will remain unchanged until 2025, providing financial support to millions of families.

Income Limits for the Child Tax Credit in 2025

The Child Tax Credit (CTC) remains a vital financial resource for families raising children under the age of 17. For the 2025 tax year (filed in 2026), the income limits for eligibility will remain consistent with previous years:

  • $400,000 for married couples filing jointly
  • $200,000 for single filers and other filing statuses

These thresholds determine whether taxpayers receive the full $2,000 credit per qualifying child or a reduced amount based on income levels exceeding these limits.


Key Details About the 2025 Child Tax Credit

  • Maximum Credit: $2,000 per qualifying child
  • Refundable Portion: Up to $1,700 per qualifying child
  • Phase-Out Threshold: The credit begins to phase out when incomes exceed the $400,000 and $200,000 thresholds.

While the Child Tax Credit is primarily non-refundable, the refundable portion allows eligible taxpayers to receive up to $1,700 per child even if they owe little to no federal income tax.

Eligibility Requirements for the Child Tax Credit in 2025

To qualify for the Child Tax Credit, taxpayers must meet these requirements:

1. Age Requirement:

  • The child must be under 17 years old at the end of the tax year.

2. Relationship Requirement:

  • The child must be your son, daughter, stepchild, foster child, sibling, stepsibling, or a descendant (e.g., grandchild, niece, or nephew).

3. Dependent Status:

  • The child must be claimed as a dependent on your tax return.
  • The child cannot file a joint tax return, unless solely for a refund of withheld taxes.

4. Residency Requirement:

  • The child must have lived with you for more than half the year.
  • Exceptions apply for temporary absences, custody agreements, or special circumstances.

5. Financial Support Requirement:

  • You must have provided at least half of the child’s financial support during the tax year.

6. Citizenship Requirement:

  • The child must be a U.S. citizen, U.S. national, or U.S. resident alien.
  • The child must have a valid Social Security Number (SSN) issued before the tax return filing deadline (including extensions).

How to Claim the Child Tax Credit in 2025

To claim the Child Tax Credit, follow these steps:

  1. Complete your federal tax return (Form 1040 or 1040-SR).
  2. Fill out the Child Tax Credit Worksheet included in the IRS instructions.
  3. Ensure accurate reporting of income, dependents, and eligibility details.

Why the Income Limits Matter

The income limits for the Child Tax Credit are essential for determining whether families qualify for the full credit amount or a reduced benefit. For households near or above these thresholds, careful tax planning is crucial to maximize benefits.

Final Thoughts

The Child Tax Credit will continue to provide essential financial relief to families in 2025, with income thresholds and credit amounts remaining unchanged. Families are encouraged to review their eligibility criteria, ensure accurate reporting, and file their tax returns on time to claim this valuable credit.

For more information, visit the official IRS website or consult a tax professional for personalized assistance.

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