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The Internal Revenue Service (IRS) has updated the rules for the Child Tax Credit (CTC) for the 2026 tax season, following the implementation of the new tax law championed by President Donald Trump.
The program aims to lighten the tax burden on families with minor children who meet the established requirements.
According to the IRS on its website, the CTC is a non-refundable credit that allows taxpayers to reduce the taxes owed, while the Additional Child Tax Credit (ACTC) represents the refundable portion of the benefit.
The former allows for a refund if the amount of the credit exceeds the tax liability.
The federal agency states that the maximum credit amount has increased to $2,200 per eligible child, and that the maximum refundable limit is $1,700, depending on each taxpayer's income.
To qualify, the taxpayer—and each claimed child—must have a valid Social Security number for employment in the United States, issued before the tax return submission date.
The dependent must be under 17 years old by the end of the fiscal year, have lived with the taxpayer for more than half of the year, and be a U.S. citizen or legal resident.
It is also required that the parent or guardian submitting the declaration has a valid Social Security number, a condition established by the new legislation.
Income determines the amount of the benefit. The IRS confirms that the full credit is granted to those who report annual incomes of up to $200,000 if filing individually or $400,000 if filing jointly.
For higher incomes, the credit gradually decreases by 50 dollars for every additional 1,000 dollars.
Additionally, the requirement to have at least $2,500 in earned income to qualify for the refundable portion (ACTC) remains in place.
The IRS reminded that the credit is claimed by filling out Form 1040 or 1040(SP) and attaching Schedule 8812, which relates to credits for qualified children and other dependents.
By law, the agency cannot issue refunds that include this credit before mid-February, a measure put in place to prevent tax fraud.
According to Univisión, the reform approved in 2025 tightens the eligibility criteria, excluding some citizen children whose parents lack legal immigration status, and aims to focus the benefit on families with stable tax residency and valid Social Security numbers. The initiative also provides for automatic inflation adjustments starting in 2026.
The IRS continues to provide its Interactive Tax Assistant to check eligibility and offers informational resources on credits related to dependents, education, and childcare.
Taxpayers can consult the official details at irs.gov, where the agency publishes updates and current guidelines regarding the program.
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