The Child Tax Credit

The Child Tax Credit is one of the most relied on credits every year. It’s been extended until 2012 and allows you to claim a credit worth up to $1,000 for each qualifying child that you can claim as a dependent.Child Tax Credit

A qualifying child:

  • Must be 16 years old or younger
  • Is Your daughter, son, step child, foster child, brother, sister, step sibling, niece, nephew, grandchild, or adopted child
  • Cannot provide more than 50% of their own material support
  • Must be a legal dependent of the tax payer Must be a U.S. citizen, national, or residential alien
  • Must have lived with the tax filer for over half of the tax year

Aside from those basic parameters there is a phase-out for those making a certain amount each year.