Child Tax Credit

Five Things You Should Know about the Child Tax Credit

A non-refundable $1,000 tax credit is available to a lower-income taxpayer for each of the qualifying children under age 17.  A refundable additional child tax credit is also available.

The social security numbers for the applicable taxpayers and children must have been issued by December 31st.

Penalties similar to those applicable to the EITC bar a taxpayer who claimed an improper credit from claiming the credit for two to ten years.

Tax return preparers are subject to due diligence requirements for tax returns that claim the child tax credit, similar to the rules for EITC.