17-Year-Old Children

Answer: Yes. If you meet all the other rules for taking the child tax credit, you can claim the credit for your d Form 1040 this year. The age for children qualifying for the credit for 2021 is 17 and under (a change from 2020’s requirement of 16 and under).

New Babies in 2021

Question: What if I had a baby last year? How do I calculate the child tax credit on my 2021 return?

Answer: Because the IRS does not know about the baby, you would not have received advance payments with respect to this child. But you’ll be able to account for your child when you file your 2021 tax return this year. Provided you are otherwise eligible to take the child credit, you can take a child tax credit of up to $3,600 for your baby on your 2021 Form 1040.

Not Required to File Tax Returns

Question: I generally do not file tax returns because my income is below the threshold required to file. Should I file anyway for 2021 to claim the child tax credit?

Answer: Yes. Remember that the 2021 child tax credit is fully refundable for families who live in the United States for more than one half of the year. That means under the rules for the 2021 tax year, people who qualify for the child tax credit can receive the full credit as a refund, even if they have no tax liability.

You don’t need to be employed or otherwise have earnings to claim the credit on your 2021 return and get a refund sent to you. Just fill out Form 1040 and Schedule 8812, reconcile the child credit you’re entitled to with any monthly child credit payments you received last year, and have the excess credit refunded to you.

Families who received advance payments of the child tax credit last year must file a 2021 tax return to compare the payments you received with the amount of the child tax credit you can properly claim on your 2021 return. Read more