August 13, 2018
Notable changes include:
Child tax credit
- The maximum credit increased to $2,000 per qualifying child.
- The credit begins phasing out at $400,000 for couples and $200,000 for singles.
Additional child tax credit
- The maximum additional child tax credit increased to $1,400.
- The ACTC is a refundable credit for taxpayers who owe little or no federal income tax.
- There’s a new $500 credit benefiting taxpayers who care for other dependents.
- These dependents include qualifying children or qualifying relatives, such as dependent children who are age 17 or older at the end of 2018, or parents or other qualifying relatives supported by the taxpayer.
Don’t forget to check your state withholding too.