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I'm only getting credit for 1 dependant though I have 3. Does anyone else have this issue or know why?

 
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2 Replies

I'm only getting credit for 1 dependant though I have 3. Does anyone else have this issue or know why?

Who are the dependents and how old are they?   You do not mention which credit you are not getting.  Are you referring to the child tax credit?    You only get the CTC for  children younger than 17.   If anyone turned 17 in 2023 you lose the CTC for them.  Then you get the $500 credit for other dependents instead.     And if you have a newborn, you have to say they lived with you the WHOLE year.

 

Or....are you asking about something else?

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**
Hal_Al
Level 15

I'm only getting credit for 1 dependant though I have 3. Does anyone else have this issue or know why?

Q. Why am I only getting credit for 1 dependent though I have 3? 

Q. When your income is too low to get the full $2000 per child, you get a reduced total amount  based on the amount of earned income you have.  Although it may appear that you're only get credit for one child, what you're really getting is a reduced total. 

 

The child tax credit  (CTC) is  limited to your tax liability. The CTC is a non-refundable credit and can only reduce your income tax to 0, It can not help you beyond eliminating your tax liability. But, if you have more than $2500 of earned income, some or all of it is usually given back to you thru the "Additional Child tax credit". That is, part of the CTC may be on line 28 of form 1040 (2021- 2023) instead of line 19. The  ACTC is calculated on form 8812 and  is basically 15% of your earned income over $2500. The ACTC is a maximum of $1600 (2023) ($1500 for 2022) per child, not $2000.

 

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