Our child born in 2018 with limb difference disability. What are the tax breaks/credits available?

[Coleen3]

There are no tax breaks for disabled children. The only time it is considered for tax purposes is an exception for when a dependent ages out of being a "child".

[SweetieJean]

unless your state has some special deduciton or credit.

[xmasbaby0]

So sorry to hear about your child's health problems.  There is not any extra tax benefit or deduction to saying that a child under age 13 is disabled on your Federal return.  If you have a disabled child over 12 and need to pay for childcare so you can work, saying the child is disabled can enable you to claim the childcare credit.  Or if the child is 19 or older, you can still claim the disabled child as your dependent.  Otherwise, it does not benefit you to claim that your child is disabled.  Your state tax laws may be different.

Of course, any medical expenses you are paying out of pocket should be entered in Medical Expenses in case you have met the threshold for claiming medical expenses as a deduction.