Child Tax Credit 2024-2025: Eligibility Details And What The Trump Admin Has Said About It

The holidays are over, and it's now time to start processing tax filings – an easy process for some but an arduous endeavor for many, especially those who are not so familiar with the Child Tax Credit.

An integral part of tax policies that every American household should be aware of, the child tax credit can save families thousands annually. In 2025, tax filing kicks off late in January and ends on April 15.

What Is The Child Tax Credit?

This policy "helps families with qualifying children get a tax break," as per the Internal Revenue Service (IRS), thus giving some breathing space for eligible families to cut down on tax-related costs.

Qualifying children need to have a Social Security number that's valid for employment in the United States. It is also worth noting that for the 2024 tax year, the dependent should be under 17 at the end of the tax year.

For the 2024 tax year, the maximum tax credit per qualifying child is $2,000 for kids under 17 years of age.

Who Is Eligible?

While the child tax credit is one of the most important tax policies in the country, not everyone is eligible. To find out whether you are eligible to claim the credit, here are the provisions on what makes a dependent a qualifying child:

• Be a U.S. citizen, U.S. National, or U.S. resident alien
• Be the claimant's son, daughter, stepchild, eligible foster child, brother sister, stepbrother, stepsister, half-brother, half-sister, or a descendant of one of these, such as a grandchild, niece, or nephew
• Not have provided more than half of his or her own support for the 2024 tax year
• Lived under your care for more than half the tax year
• Claimed as a dependent on the claimant's return
• Not file a joint return for the year

Take note that you are eligible for the full amount of the 2024 Child Tax Credit for each qualifying child if all the eligibility factors are met and your annual income is not over $200,000 or $400,000 for couples filing under a joint return.

If your income is higher than the mentioned figures, you may still be eligible to claim a partial credit, the IRS said.

If you think you are eligible, don't forget to identify your children and other dependents on Form 1040, U.S. Individual Income Tax Return, and attach a completed Schedule 8812, Credits for Qualifying Children and Other Dependents.

What Has The Trump Government Said About The Child Tax Credit?

Incoming U.S. President Donald Trump will need to address questions about his plans regarding the child tax credit, which was expanded in 2021 by outgoing President Joe Biden.

At the time, the American Rescue Plan allowed for the credit to pay out $3,600 per qualifying child under six years and $3,000 per eligible child aged six to 17. However, Congress didn't renew the said temporary tax break, and the child tax credit reverted to the $2,000 levels.

Without a similar tax break, parents or guardians can expect the credit to drop further to $1,000 per qualifying child during the 2025 tax year.

"Trump will consider a significant expansion of the child tax credit that applies to American families," the president-elect's campaign said in August last year.

His running mate, J.D. Vance, said during the campaign period that he wants to expand the credit to $5,000 per qualifying dependent. He acknowledged that he will need to collaborate with Congress to determine the viability of the said figures.

It is unclear if Vance has discussed the matter with Trump and if the latter, who will be leading the country for the second time starting Jan. 20, will push the plan in Congress.