New York families can now get more money back at tax time, as the state rolls out the largest expansion of its child tax credit ever.
Gov. Kathy Hochul announced Monday that the expanded Empire State Child Credit is now available for the current filing season, giving eligible families up to $1,000 per child under age four. The refundable credit can reduce taxes owed or be paid out as cash in a refund.
Bigger credits for more families
For the 2026 filing season, which covers Tax Year 2025, families can receive up to $1,000 for each qualifying child under age four. Families can also receive up to $330 per child ages four through 16.
Starting next year, the credit for children ages four through 16 will increase to as much as $500 per child, while the $1,000 maximum for younger children will remain in place.
State officials say the changes make the credit available to more families and significantly increase the average benefit.
A boost for low- and middle-income households
Lawmakers eliminated a long-standing income restriction that had prevented the poorest families from receiving the full credit. Families with little or no income can now receive the full amount as cash back if they file a state tax return.
The state also adjusted income phase-outs so more middle-class families qualify. The full credit remains available to married couples filing jointly with incomes up to $110,000, but families earning more can still receive partial credits.
Under the new rules, a family of four earning $170,000 with one child under four and one older child can now receive more than $500 per year. That family previously received nothing.
State officials say the average credit will nearly double, rising from $472 to $943.
Filing is required to get the money
“To receive the credit, New Yorkers must file a New York State tax return this year,” Hochul said.
The tax filing season opened Monday, Jan. 26. Officials encourage families to e-file, which they say is the fastest and safest way to receive refunds.
To qualify, taxpayers must be full-year New York residents, have at least one child under 17 as of Dec. 31, and file a state return with a valid Social Security number or ITIN for themselves and each child.
Single filers and heads of household receive the maximum credit with incomes under $75,000.
No impact on other benefits
State officials stress that receiving the credit will not affect Medicaid, SNAP, SSI, cash assistance, or housing benefits. Refunds also will not count toward asset limits for 12 months if families choose to save the money.
Barbara C. Guinn, commissioner of the Office of Temporary and Disability Assistance, said outreach will focus on families who don’t usually file taxes.
“The expanded Empire State Child Credit will provide a much-needed boost to household budgets,” Guinn said. “But it’s important that those families know they need to file a New York State income tax return in order to receive the money.”
Part of a broader affordability push
The expanded credit is a central piece of Hochul’s affordability agenda, which also includes middle-class tax cuts, inflation rebate checks, and universal free school meals.
State officials say that if all eligible families claim the credit, it could reduce child poverty in New York by more than eight percent.
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