The Child Tax Credit in 2026

The Child Tax Credit for 2026 is a tax reduction worth up to $2,000 per child under age 17. You claim it on your federal tax return to lower the tax you owe. The credit applies to children who are U.S. citizens, nationals, or resident aliens with a valid Social Security number, and you must be their parent or legal guardian.

The amount you receive depends on your household income. If your income is below certain thresholds, you get the full $2,000 per child. Above those thresholds, the credit begins to phase out — it decreases by $50 for every $1,000 (or fraction of $1,000) your income exceeds the limit. For 2026, the phase-out begins at $400,000 for married couples filing jointly and $200,000 for single filers.

Part of the credit may be refundable, meaning you can receive money back even if you owe no tax. The refundable portion is limited to 15 percent of your earned income above $2,500, capped at $1,700 per child for 2026. This refundable part is sometimes called the Additional Child Tax Credit.

Key Takeaways

  • The Child Tax Credit reduces your federal tax bill by up to $2,000 per may have access to child under age 17.
  • You must have a valid Social Security number for each child to claim the credit on your return.
  • The credit phases out if your income exceeds $400,000 (married filing jointly) or $200,000 (single filers).
  • Up to $1,700 of the credit per child may be refundable, meaning you could receive money back if you owe no tax.
  • You claim the credit on your federal tax return; the IRS does not send it automatically.

Income Limits and Phase-Out Rules

Your income determines whether you receive the full $2,000 credit or a reduced amount. The IRS uses your Modified Adjusted Gross Income (MAGI) to calculate this. For 2026, the phase-out thresholds are $400,000 for married couples filing jointly, $200,000 for single filers, and $200,000 for heads of household.

Once your income exceeds the threshold for your filing status, the credit decreases by $50 for every $1,000 over the limit. If you exceed the threshold by $1,500, for example, the credit drops by $100 (one full $1,000 increment plus the partial $500). This reduction applies to the total credit before the refundable portion is calculated.

If the phase-out reduces your credit to zero, you receive nothing. The credit does not create a negative tax or additional refund beyond the refundable portion already described.

Who Qualifies as a Dependent Child

To claim the Child Tax Credit, the child must be under age 17 at the end of the tax year (December 31, 2026). The child must also be your son, daughter, stepchild, foster child, sibling, or a descendant of any of these — in other words, a relative you can claim as a dependent.

The child must be a U.S. citizen, national, or resident alien. You will need their valid Social Security number to claim the credit. If a child turns 17 during 2026, you cannot claim the credit for that year, even if they were under 17 for most of it.

You must also provide more than half the child's financial support during the year. If another person (such as a grandparent or ex-spouse) provides more than half the support, that person may be able to claim the credit instead, depending on custody and other factors.

The Refundable Portion and Additional Child Tax Credit

The Additional Child Tax Credit is the refundable part of the credit. It allows you to receive money back even if you owe no federal income tax. For 2026, the refundable amount is limited to 15 percent of your earned income above $2,500, with a maximum of $1,700 per child.

To calculate the refundable portion, take your total earned income (wages, self-employment income, and similar sources) and subtract $2,500. Multiply the result by 15 percent. Compare this to $1,700 per child. Whichever is smaller is your refundable credit per child. If you have three children, you could receive up to $5,100 back ($1,700 × 3), provided your earned income supports that amount.

The refundable credit is separate from the non-refundable portion. You first use the non-refundable credit to reduce your tax bill to zero. Any remaining credit can then be refunded to you, up to the refundable limit.

How to Claim the Credit on Your Tax Return

You claim the Child Tax Credit on your federal tax return using Form 1040 or Form 1040-SR. On the form, you list each may have access to child's name, age, and Social Security number. The IRS uses this information to verify the child's identity and may support you are not claiming the same child twice.

If you use tax software, the program will ask you questions about each child and calculate the credit automatically. If you file by paper, you will enter the information in the designated section of the form. You do not need to submit separate documents unless the IRS requests them.

File your return before the important date (usually April 15) to claim the credit for that tax year. If you are due a refund that includes the refundable portion of the credit, the IRS will send it to you after processing your return, typically within a few weeks to a few months depending on how you file.

Changes to Watch Between Tax Years

The Child Tax Credit amount and phase-out thresholds can change from year to year. Congress has adjusted the credit in the past, and it may be adjusted again. The $2,000 per-child amount and the $1,700 refundable cap are current for 2026, but always check the IRS website or your tax software for the year you are filing to confirm the current amounts.

Income thresholds also adjust annually for inflation. The $400,000 and $200,000 phase-out thresholds listed here are for 2026. If you file for 2025 or 2027, the thresholds will be different. Your tax software or the IRS instructions will show the correct thresholds for the year you are filing.

If you have a significant change in income or family situation (such as a new child, divorce, or custody change), review your may be able to access before filing. You may owe money back if you claimed a credit you were not may have access to to.

Frequently Asked Questions

Can I claim the Child Tax Credit if my child does not have a Social Security number?

No. Your child must have a valid Social Security number to claim the credit. If your child was born in the United States, you can obtain a number from the Social Security Administration. If your child is not a U.S. citizen, they must be a resident alien with an Individual Taxpayer Identification Number (ITIN) to may have access to.

What happens if I claim the credit and the IRS says I was not may have access to to it?

The IRS will send you a notice explaining why the credit was disallowed. You may owe the credit amount back, plus interest. If you disagree, you can respond to the notice with documentation (such as proof of the child's age or your relationship to them). Keep records of your dependent children's information in case the IRS asks for verification.

Can two parents claim the same child for the credit?

No. Only one person can claim the credit per child per year. If parents are divorced or separated, the parent with custody typically claims the credit, unless a custody agreement or court order says otherwise. If you and another person both claim the same child, the IRS will disallow one of the claims and may assess penalties.

Do I have to file a tax return to get the refundable portion of the credit?

Yes. You must file a federal tax return to claim any part of the Child Tax Credit, including the refundable portion. Even if you have no tax liability, filing allows you to receive the refundable credit as a refund. If you do not file, you do not receive the credit.

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

Yes, if the child meets the relationship and support requirements. A foster child placed with you by a state or local agency qualifies. A grandchild qualifies if you provide more than half their financial support and they live with you for the entire year. You must be able to claim them as a dependent on your return.