Internal Revenue Service United States Department of the Treasury
Level Basic Advanced Military International

Child Tax Credit Workout

Amount of the Credit

Figuring the Credit

The maximum amount taxpayers may claim for the nonrefundable child tax credit is $1,000 for each qualifying child. The amount actually claimed on Form 1040 depends on the taxpayer's tax liability, Modified Adjusted Gross Income (MAGI), and filing status. The amount of the credit may be reduced if the taxpayer's:

  • Tax liability minus the majority of the nonrefundable credits is less than the maximum child tax credit, or
  • MAGI is above the amounts shown below based on the following filing status:
    • Married Filing Jointly - $110,000
    • Single, Head of Household, or Qualifying Widow(er) - $75,000
    • Married Filing Separately - $55,000

May and Bob file as Married Filing Jointly and have two children who qualify for the child tax credit. Their MAGI is $86,000 and their tax liability is $954. Even though their AGI is less than the threshold limit, they can only claim $954, reducing their tax to zero. Because Bob and May cannot claim the maximum child tax, they may be eligible for the additional child tax credit.