It’s Spring! That time of year when parents nationwide claim their dependent minor children on their federal taxes.
Child Tax Credit
The Child Tax Credit is a tax-reducing entitlement millions of parents take advantage of each year to offset some of the costs associated with caring for their children. Let’s face it, kids are expensive. Every little bit of help that lessens a family’s tax burden is a big deal.
Taking advantage of the Child Tax Credit however is not that simple. There are numerous constraint that impact a parent’s ability to claim their child. Some of these constraints are requirements such as:
- the child must be under 17 years of age;
- the child must be a “dependent” of the parent;
- the child must be a U.S. citizen, national, or green card holder;
- the family’s household income must be under a certain threshold.