This new credit amount will be awarded to taxpayers that have dependent kids who are under the age of 17 in 2025. A credit refund may also be partially granted to some taxpayers upon request. The other qualifying factors that every taxpayer who wants to claim the credit and the child must meet include The age of the kid and the relationship of the kid to the taxpayer.Â
Also, because the benefit tapers for high earnings, taxpayers must meet specific income rules to qualify for the program. You can lose your credit amount, or you can become ineligible completely based on the income limit for MAGI or the Modified Adjusted Gross Income.Â
One would hope the new Child Tax Credit amount will be revealed in the upcoming year, 2025.
Each qualified dependent child in 2024 can claim up to $2,000 for child tax credits. The New Child Tax Credit Amount Expected In 2025, or the refundable component of the credit, has a maximum of $1,700. If your MAGI is less than $200,000 (for all other filers) or $400,000 (for married filers filing jointly,), you are eligible for the full credit amount.Â
If MAGI is over the aforementioned restrictions, credit is reduced by $50 for every $1,000 of income above the threshold until it no longer exists altogether.
Forms filed in 2025 are used to claim a credit for the 2024 child tax credit. The New Child Tax Credit Amount Expected In 2025 is actually credited to the taxes paid in April 2026, as the IRS has recently revealed.
Eligibility Criteria
To be eligible for the Child Tax Credit, the following conditions must be met:
- The child must be under age 17 at the end of the tax year.
- The child must be a dependent of the taxpayer and cannot provide more than half of their own support.
- The child must be a U.S. citizen, national, or resident alien.
- The taxpayer’s modified adjusted gross income (MAGI) must not exceed certain thresholds: $200,000 for single filers and $400,000 for married couples filing jointly.
