The Child Tax Credit amount for 2024

The Child Tax Credit is worth up to $2,000 per child under age 17 for the 2024 tax year. The exact amount you receive depends on your income, how many children you claim, and whether you received advance payments during the year. If your income is below certain thresholds, you get the full $2,000 per child. As your income rises above those thresholds, the credit begins to reduce by $50 for every $1,000 (or fraction thereof) of income over the limit.

The income thresholds where the credit starts to phase out are $400,000 for married couples filing jointly and $200,000 for single filers and heads of household. These thresholds do not change year to year based on inflation. If your modified adjusted gross income (MAGI) exceeds these amounts, you will owe back some of the credit when you file your return.

Key Takeaways

  • The maximum Child Tax Credit is $2,000 per may have access to child under age 17 in 2024.
  • You lose $50 of the credit for every $1,000 of income above $400,000 (married filing jointly) or $200,000 (single or head of household).
  • If you received advance Child Tax Credit payments in 2024, those amounts reduce what you can claim on your tax return.
  • A child must have a valid Social Security number, live with you for more than half the year, and be claimed as your dependent to count toward the credit.

How income affects the amount you receive

Your income directly determines whether you get the full $2,000 or a reduced amount. The IRS uses your modified adjusted gross income (MAGI) to calculate this. For most people, MAGI is the same as the adjusted gross income (AGI) shown on your tax return, but certain types of income can change this calculation.

Once your MAGI crosses the threshold for your filing status, the credit shrinks. For every $1,000 over the limit (or any part of $1,000), you lose $50. For example, if you are married filing jointly with MAGI of $401,000, you are $1,000 over the $400,000 threshold, so you lose $50 from each child's credit. If your MAGI is $401,500, you still lose $50 per child because the IRS rounds up any partial $1,000.

The reduction continues until the credit reaches zero. At very high income levels, some families will not be able to claim any Child Tax Credit, though this is rare.

Advance payments and how they reduce your credit

In some years, the IRS has sent advance Child Tax Credit payments directly to families before they file their tax return. These payments were made monthly or in lump sums, depending on the program in effect. Any advance payments you received in 2024 must be subtracted from the total credit you claim on your return.

For example, if you received $1,200 in advance payments during 2024 and your total Child Tax Credit for the year is $2,000, you can only claim $800 on your tax return. The advance payments are not extra money on top of the credit—they are an early portion of the same credit.

You will report the advance payments you received on your tax return using Form 8812 (Credits for may have access to Children and Other Dependents) or the equivalent section of your tax software. The form walks you through reconciling what you received against what you are owed.

Who qualifies as a child for this credit

Not every child in your household counts toward the Child Tax Credit. The child must meet four requirements: they must be under age 17 at the end of the tax year, they must be your son, daughter, stepchild, foster child, sibling, or descendant of any of these (including adopted children), they must have lived with you for more than half the year, and they must have a valid Social Security number.

The child also must be claimed as your dependent on your tax return. If another person (such as a grandparent or ex-spouse) claims the child as a dependent, you cannot claim the credit for that child, even if the child lives with you. Only one person can claim the credit per child per year.

Children who are not U.S. citizens, nationals, or resident aliens do not count, even if they have a Social Security number. Foster children and adopted children do count as long as they meet the other requirements and you legally adopted them or placed them in your home for legal adoption.

The difference between the full credit and a partial refund

The Child Tax Credit works in two parts: a non-refundable portion and a refundable portion. The non-refundable portion reduces the taxes you owe. The refundable portion, called the Additional Child Tax Credit, can result in a refund even if you owe no taxes.

For 2024, up to $1,700 per child of the $2,000 credit can be refundable, meaning you could receive that amount as a refund if it exceeds the taxes you owe. The remaining $300 per child is non-refundable, so it can only reduce your tax bill to zero but cannot generate a refund beyond that.

This distinction matters most for lower-income families who owe little or no federal income tax. They may still receive a refund through the refundable portion of the credit. The IRS calculates this automatically when you file your return.

Special situations that affect the credit amount

If you are divorced or separated, only the parent who claims the child as a dependent can claim the credit. Even if the other parent pays child support or has custody part of the year, the credit goes to whoever claims the dependent exemption on their return. You and the other parent cannot split the credit.

If a child turns 17 during the tax year, they do not count for the credit. The child must be under 17 on December 31 of the tax year. If a child was born on January 1, they are considered age 1 on that date, so they would count for that year's credit.

If you claim a child who does not have a valid Social Security number, the IRS will deny the credit. You cannot use an Individual Taxpayer Identification Number (ITIN) in place of a Social Security number for this credit. The child must have a Social Security number issued by the Social Security Administration.

Frequently Asked Questions

Can I claim the Child Tax Credit if I did not receive advance payments?

Yes. Advance payments were only sent in certain years under specific programs. If you did not receive any advance payments in 2024, you can still claim the full Child Tax Credit on your return if you meet all the requirements and your income is below the phase-out threshold. You will report the credit on Form 8812 or through your tax software.

What happens if my income changes after I received advance payments?

When you file your tax return, the IRS recalculates your credit based on your actual income for the year. If your income was lower than expected, you may be owed additional credit as a refund. If your income was higher, you may have to repay some or all of the advance payments you received. The reconciliation happens automatically on your return.

Can I claim the credit for a grandchild or niece I am raising?

Only if you claim them as your dependent on your tax return. The child must meet the relationship and residency requirements, and you must be the one claiming the dependent exemption. If another family member claims the child, you cannot claim the credit, even if you provide most of their financial support.

Does the credit amount change if I have more than one child?

The credit is $2,000 per may have access to child, so yes, it increases with each child. If you have three may have access to children and your income is below the phase-out threshold, your total credit is $6,000. The phase-out reduction applies to each child separately, so your total reduction is $50 per child for every $1,000 over the threshold.

What if my child has an Individual Taxpayer Identification Number instead of a Social Security number?

The child does not count for the Child Tax Credit. The IRS requires a valid Social Security number issued by the Social Security Administration. An ITIN cannot be used for this credit. If your child is may be able to access for a Social Security number, you can explore through the Social Security Administration and claim the credit in a future year once the number is issued.