Why did I not receive the full $1,700 ACTC for each dependent even though we did not surpass the $200,000 annual income limit?

[SabrinaD2]

There are a few reasons why you might not have received the full $1,700 Additional Child Tax Credit (ACTC) for each dependent, even if your annual income did not exceed $200,000:

• Dependent Eligibility: Each qualifying child must meet specific criteria, such as being under 17 at the end of the tax year, living with you for more than half the year, and having a valid Social Security Number
  • If any of your dependents do not meet these criteria, you may not receive the full credit.
• TurboTax Calculation: TurboTax uses the information you provide to calculate the ACTC. Ensure that all dependent information and income details are accurately entered
  • Go back to the MyInfo section and double-check all dependent information

Reach back out if this does not work

[kriselizh]

Hello, both kids are under the age of 17, fully dependent, in our care 100% of the time, with valid social security numbers. I reevaluated all of the information I entered and it looks correct. 

[Vanessa A]

How much are you getting for the additional child Tax Credit?  

The additional child tax credit is calculated based ONLY on earned income.  You would subtract $2,500 from your earned income and multiple that by 15%.  So if you earned $12,500 your credit would be limited to $1,500. Any income from social security, interest, dividends, or other unearned income would not be counted in the calculations to claim the ACTC. 

[kriselizh]

When I do that calculation for just my income it comes to a little over $9,000 so that shouldn’t be the issue (my husbands income is more than mine), 

[JamesG1]

Have you reviewed IRS Schedule 8812 in your income tax return?  Use IRS Schedule 8812 to figure your child tax credit (CTC), credit for other dependents (ODC), and additional child tax credit (ACTC).

You must have earned income in 2024 to be eligible for the Child Tax Credit.

The Additional Child Tax Credit allows you to receive up to $1,700 of the $2,000 CTC per child as a refund for 2024 and 2025.

To determine whether you are eligible to claim the Additional Child Tax Credit, fill out the Child Tax Credit Worksheet in the Form 1040 instructions. If you qualify, complete Schedule 8812 to claim the Additional Child Tax Credit.

If your child is older than 16 at the end of 2024, you do not get the Child Tax Credit.  But you may still qualify for the non-refundable $500 Credit for Other Dependents instead.

What is the Additional Child Tax Credit?

@kriselizh