Child Tax Credit amounts
The One, Big, Beautiful Bill Act increased the maximum CTC to $2,200 starting in 2025. The amount is adjusted for inflation, although the maximum remains $2,200 for 2026.
| Child Tax Credit | Additional Child Tax Credit | |
|---|---|---|
| 2025 maximum | Up to $2,200 per qualifying child | Up to $1,700 per qualifying child |
| 2026 maximum | Up to $2,200 per qualifying child | Up to $1,700 per qualifying child |
| Refundable? | No | Yes, within the refundable limit |
| Minimum earned income | No minimum for the CTC itself | At least $2,500 |
Source: Internal Revenue Service (1,2)
Calculating the refundable amount
For many filers, the ACTC is generally limited to 15% of earned income above $2,500, up to the $1,700-per-child cap and the unused portion of the CTC.
For example, suppose you have one qualifying child, $30,000 in earned income, and enough unused CTC remaining:
- $30,000 − $2,500 = $27,500
- $27,500 × 15% = $4,125
Because the result exceeds the per-child limit, the maximum ACTC would be $1,700. Some families with three or more qualifying children may use an alternative calculation under Schedule 8812.
Qualifying child rules
A qualifying child generally must:
- Be under age 17 at the end of the tax year
- Meet the IRS relationship and residency tests
- Not provide more than half of their own support
- Be claimed as your dependent
- Be a U.S. citizen, U.S. national, or resident alien
- Not file a joint return, except to claim a refund
- Have a valid Social Security number issued by the return due date
The taxpayer claiming the CTC must also meet the applicable Social Security number requirements.
Income limits for the Child Tax Credit
The full CTC is generally available when your modified adjusted gross income (MAGI), which is your adjusted gross income with certain deductions and exclusions added back in, is no more than:
- $400,000 for married couples filing jointly
- $200,000 for all other filing statuses
For this credit, MAGI is your adjusted gross income plus certain excluded foreign income, as calculated on Schedule 8812. If above the applicable threshold, the CTC is reduced by $50 for each $1,000, or part of $1,000, of additional MAGI. The income at which the CTC disappears completely depends on how many qualifying children you claim.
Rules for divorced or separated parents
Only one parent can claim the CTC for a child in a given year. The custodial parent is generally the parent the child lived with for more nights, but that parent may use Form 8332 to release the CTC and ACTC to the noncustodial parent.
