The federal child tax credit (CTC) is an essential tax benefit for millions of families, providing financial relief to help raise children. For the 2024 tax year, eligible parents can claim up to $2,000 per qualifying child under 17, with a refundable portion of up to $1,700. However, not all families qualify; eligibility is determined by income, filing status, and specific IRS guidelines. Higher-income taxpayers face phase-out thresholds, starting at $200,000 for single filers and $400,000 for married couples. Additionally, families must meet certain requirements regarding age, residency, and dependent status. The future of the CTC is uncertain, as Congress is debating potential changes that could revert the credit to $1,000 per child by 2026 unless new legislation is passed. Families are encouraged to stay informed about their eligibility and potential changes while ensuring they claim all available tax credits and deductions.
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