📝The child tax credit for 2023 is $2,000 per child, with a refundable portion of $1,600.
💰The additional child tax credit is refundable and can be up to $1,600 per child, depending on your income.
💼To claim the child tax credit, you need to have some taxable income and tax liability.
🧒Earned income is necessary to qualify for the additional child tax credit.
📊The video provides examples and explanations of different scenarios to help you understand the rules and requirements.
Can I claim the child tax credit if I have no income?
—No, you need to have some taxable income to claim the child tax credit or the additional child tax credit. The child tax credit is non-refundable, meaning it can only be used to offset your tax liability. The additional child tax credit, on the other hand, is refundable, but you still need earned income to qualify.
What is the maximum amount of the child tax credit?
—The maximum amount of the child tax credit for 2023 is $2,000 per child. However, the refundable portion of the credit, known as the additional child tax credit, can be up to $1,600 per child, depending on your income.
Is the child tax credit the same as the dependent exemption?
—No, the child tax credit is separate from the dependent exemption. The dependent exemption was eliminated under the Tax Cuts and Jobs Act, but the child tax credit was increased to compensate for the loss. The child tax credit provides a dollar-for-dollar reduction in your tax liability for each qualifying child.
What is earned income?
—Earned income includes wages, salaries, and self-employment income. It does not include investment income, such as interest, dividends, or capital gains.
Where can I find more information about the child tax credit?
—You can find more information about the child tax credit and the additional child tax credit on the IRS website or by consulting a tax professional. The IRS provides detailed instructions and forms to help you determine your eligibility and calculate the credits.
00:01The video discusses the question of whether you can claim the child tax credit without any income.
02:22The child tax credit for 2023 is $2,000 per child, with a refundable portion of $1,600.
03:26To claim the child tax credit, you need to have some taxable income and tax liability.
09:59If you have no earned income, you cannot claim any of the child tax credit or the additional child tax credit.
11:40If you have earned income but no taxable income, you can use the child tax credit to offset your tax liability, but you cannot claim the additional child tax credit.
13:33If you have earned income and taxable income, you may be eligible for both the child tax credit and the additional child tax credit.
14:11The video provides examples and explanations of different scenarios to help you understand the rules and requirements.
