Concise Takeaway
The Child Tax Credit (CTC) is $2,200 per qualifying child in 2025, with up to $1,700 refundable as the Additional Child Tax Credit (ACTC). A $500 nonrefundable credit is available for other dependents (ODC). Credits phase out at $200,000 MAGI ($400,000 MFJ).
Overview of the Credits
Tax law provides two main dependent‑based credits:
- Child Tax Credit (CTC) – for qualifying children under age 17
- Credit for Other Dependents (ODC) – for dependents who are not qualifying children
Both credits are calculated on Schedule 8812.
Under current law:
- CTC is $2,200 per qualifying child in 2025
- ODC is $500 per qualifying dependent
- Phaseout begins at $200,000 MAGI ($400,000 MFJ)
- CTC and ODC are not indexed for inflation
- ACTC amounts and earned income thresholds are indexed for inflation
Taxpayer Identification Number Rules
Taxpayer and spouse
Must have a TIN (SSN or ITIN) issued by the return due date to claim:
- CTC
- ODC
- ACTC
Qualifying child
Must have a valid SSN issued by the return due date to claim:
- CTC
- ACTC
If the child lacks an SSN but has a TIN (ITIN or ATIN), the taxpayer may claim the ODC instead.
Dependents for ODC
Must have any TIN (SSN, ITIN, or ATIN) issued by the return due date.
Child Tax Credit (CTC)
The CTC is $2,200 per qualifying child for 2025.
A qualifying child must:
- Be the taxpayer’s child, stepchild, foster child, sibling, or descendant
- Be under age 17 at year‑end
- Live with the taxpayer more than half the year
- Not provide more than half of their own support
- Be claimed as a dependent
- Not file a joint return (unless only to claim a refund)
- Be a U.S. citizen, national, or resident
Refundable Portion (ACTC)
Up to $1,700 per child may be refundable.
ACTC equals:
15% of earned income over $2,500, up to the maximum refundable amount.
Taxpayers filing Form 2555 cannot claim ACTC.
Credit for Other Dependents (ODC)
The ODC is $500 per qualifying dependent who is not a qualifying child.
Examples:
- Dependents age 17 or older
- College students
- Dependent parents
The dependent must be a U.S. citizen, national, or resident. Dependents living in Canada or Mexico do not qualify.
Phaseout Rules
Credits phase out when MAGI exceeds:
- $400,000 for married filing jointly
- $200,000 for all others
Phaseout amount:
Reduce credits by $50 for every $1,000 (or fraction) of MAGI above the threshold.
Credit Flow Summary
- Determine qualifying children and other dependents
- Apply TIN/SSN requirements
- Calculate CTC and ODC on Schedule 8812
- Determine refundable ACTC
- Apply MAGI phaseout
- Claim credits on Form 1040