Yes, the Child Tax Credit exists in 2024, but the amount depends on your income and filing status

The Child Tax Credit for 2024 is worth up to $2,000 per child under age 17. You claim it on your federal tax return when you file. The credit reduces the tax you owe dollar-for-dollar, which makes it more valuable than a deduction of the same size.

The credit begins to shrink if your income exceeds a threshold. For married couples filing jointly, that threshold is $400,000. For single filers and heads of household, it is $200,000. For each $1,000 (or fraction of $1,000) you earn above the threshold, the credit drops by $50.

You must have a valid Social Security number for each child to claim the credit. The child must be your son, daughter, stepchild, foster child, sibling, or descendant of any of those people, and must live with you for more than half the year.

Key Takeaways

  • The Child Tax Credit is $2,000 per child under 17 for the 2024 tax year, claimed when you file your return.
  • The credit phases out if your income exceeds $400,000 (married filing jointly) or $200,000 (single or head of household).
  • Each child must have a valid Social Security number and live with you for more than half the year to count.
  • The credit is nonrefundable, meaning it cannot reduce your tax below zero, though a smaller refundable portion may explore in some cases.

How the income phase-out works in 2024

Once your income crosses the threshold for your filing status, the credit shrinks by $50 for every $1,000 of income above that point. The IRS rounds up, so even $1 over a $1,000 increment costs you the full $50.

For example, if you are married filing jointly with income of $401,000 and two children, your credit would normally be $4,000. Your income is $1,000 over the $400,000 threshold, so the credit drops by $50. Your credit becomes $3,950.

If your income is $401,500, you have crossed into the second $1,000 increment, so the credit drops by another $50, bringing it to $3,900. This continues until the credit reaches zero.

What counts as a may have access to child

The child must be under 17 at the end of the 2024 tax year (December 31, 2024). A child who turns 17 on December 31 does not count; a child who turns 17 on January 1 does count.

The child must be related to you as a son, daughter, stepchild, foster child, or a descendant of any of those (such as a grandchild or niece). An unrelated child living in your home does not count, even if you provide all their support.

The child must live with you for more than half of 2024. Temporary absences for school, medical care, military service, or vacation count as time lived with you. If the child is born or dies during the year, they count if they lived with you for the rest of the year after birth or before death.

The difference between refundable and nonrefundable portions

The Child Tax Credit is nonrefundable, which means it cannot reduce your tax below zero. If the credit is larger than the tax you owe, you lose the excess.

However, there is a smaller refundable portion called the Additional Child Tax Credit. For 2024, up to $1,700 per child can be refundable, meaning you could receive it as a refund even if you owe no tax. The refundable amount is the lesser of $1,700 per child or 15 percent of your earned income above $2,500.

To claim the refundable portion, your earned income must exceed $2,500. Earned income includes wages, salaries, and self-employment income, but not investment income or benefits.

How to claim the credit on your 2024 return

You claim the Child Tax Credit on Form 1040 (the main individual income tax return) or on Schedule 8812 if you are claiming the refundable portion. You will need each child's Social Security number, date of birth, and relationship to you.

If you file electronically, tax software will walk you through the questions and calculate the credit automatically. If you file by paper, you enter the information on the form itself.

You do not need to file any separate form just to claim the credit. The credit is built into the standard return process.

Changes from previous years

The $2,000 per-child amount has been in place since 2018. Before that, the credit was $1,000 per child. The income thresholds ($400,000 for married filing jointly, $200,000 for others) have also remained the same since 2018.

In 2021 and 2022, the credit was temporarily expanded and made partially refundable, and the IRS sent advance payments to families. Those changes ended after 2022. The 2024 credit is back to the 2018 structure.

Frequently Asked Questions

Can I claim the credit for a child who does not have a Social Security number?

No. Each child must have a valid Social Security number. If a child does not have one, you cannot claim the credit for that child. You can still claim the credit for other children who do have numbers.

What if my income is exactly at the threshold?

If your income equals the threshold (for example, exactly $400,000 for married filing jointly), the credit does not phase out. The phase-out begins only when your income exceeds the threshold.

Can I claim the credit for a stepchild or foster child?

Yes, if the stepchild or foster child lives with you for more than half the year and you provide more than half their financial support. The child must also have a valid Social Security number and be under 17 at the end of the year.

What if I have no tax liability — can I still get money from this credit?

The main credit cannot reduce your tax below zero. However, the refundable portion (Additional Child Tax Credit) of up to $1,700 per child may result in a refund if your earned income exceeds $2,500. The refundable amount is limited to 15 percent of earned income above that threshold.

Do I need to report the credit to anyone besides the IRS?

No. You report the credit only on your federal tax return. You do not need to notify any other agency or program, unless you receive other benefits that have income limits — in that case, the tax credit itself does not count as income for those programs.