Child Tax Credit 2011

The Child Tax Credit amount can reduce your taxable income dollar for dollar. It doesn't matter what tax bracket you are placed into. A tax credit is not based on a percentage system of your tax bracket. 

The Child Tax Credit may be worth as much as $1,000 per qualifying child. Many people use tax software to determine their eligibility for the tax credit.

A Qualifying Child for the Child Tax Credit is:

• Your son, daughter, stepchild, foster child, brother, sister, stepbrother, stepsister, or a descendant of any of them, (Your grandchild, niece, or nephew)
• The child must be under the age of 17 by the end of the year. Not 17 years of age and under, UNDER 17 years of age
• Your child did not provide over half of his or her support for the year
• Your child lived with you over half of the year
• Your child is claimed as your dependent on your tax return
• Your child is a U.S. citizen, a U.S. national, or a U.S. resident alien. An adopted child is always treated as your own child. This also includes a child lawfully placed with you for legal adoption.

If you have zero tax to reduce you may be eligible for the Additional Child tax Credit. The Child Tax Credit worksheet provided by the IRS is specific about tax forms to use such as Form 1040, Form 1040A, or Form 1040NR.

Estimate Child Tax Credit

You can find out right now if you have qualifying children for the Child Tax Credit, and how much your tax credit total will be. You can use an online tax estimator for free, such as the tax estimator at TurboTax. The amount of the Child Tax Credit will depend upon your income and how many children you have.

Value of the Child Tax Credit

Everyone is asking, "How much is the Child Tax Credit worth?" As with all things pertaining to taxes, the amount of the tax credit varies. The Child Tax Credit can be worth as much as $1,000 per qualifying child. That can add up quickly if you have several children. The next question usually is, "How do you qualify for the Child Tax Credit?"

Using tax software is the quickest and easiest way to get answers about the Child Tax Credit, or the Additional Child Tax Credit amount. Try TurboTax Online today to find out how much your Child Tax Credit will be.