028: Child Tax Credit (CTC) and Credit for Other Dependents (ODC) $500 "Family Tax Credit" - published on 11/09/2019

The Child Tax Credit (CTC) is designed to give an income boost to parents or guardians of children and other dependents. It only applies to dependents who are younger than 17 as of the last day of the tax year.

The CTC is worth up to $2,000 per dependent, but your income level determines exactly much you can get. You need to have earned at least $2,500 to qualify for the CTC. The CTC is reduced (but not below zero) by $50 for each $1,000 (or fraction thereof) by which the taxpayer’s Modified Adjusted Gross Income (MAGI) exceeds a threshold amount ($400,000 for a joint return or $200,000 for any other filing status).

The $500 Credit for Other Dependents (ODC) (aka “Family Tax Credit”) was signed into law as part of the 2017 Tax Cuts and Jobs Act and is in effect for tax years 2018 through 2025.

The ODC credit allows taxpayers a credit for certain dependents that don't qualify for the Child Tax Credit, such as qualifying children or dependents of any age, including those who are age 18 or older. Dependents must have a valid Social Security Number (SSN) or valid Individual Taxpayer Identification Number (ITIN) to qualify for the ODC.

age 17 or older, adult dependents, and dependents who have an ITIN.

To be eligible for this credit, the person(s) being claimed must fit the definition of a qualifying child or a qualifying relative and be a dependent.