Child Tax Credit Calculator 2018 Usa

The 2018 Child Tax Credit was a significant financial benefit for families with children in the USA. This calculator helps you determine your eligibility and estimated credit amount based on your family's income and number of qualifying children.

How the 2018 Child Tax Credit Works

The 2018 Child Tax Credit was part of the Tax Cuts and Jobs Act (TCJA) and provided a refundable credit for qualifying children. This means the credit could be claimed even if it exceeded your tax liability, resulting in a direct payment from the IRS.

Credit Amount

The credit amount varied based on the child's age:

$2,000 per child under age 17
$500 per child between ages 17 and 24

The credit was fully refundable for most taxpayers, meaning you could receive the full amount even if your tax liability was zero. However, there were income limits that phased out the credit for higher-income families.

Eligibility Requirements

To qualify for the 2018 Child Tax Credit, you must meet several requirements:

Be a US citizen or resident alien
Have a valid Social Security number
Have a qualifying child who meets the age requirements
Meet the income limits for your filing status

Qualifying children include your own children, stepchildren, and certain other dependents. The child must be a US citizen, national, or resident alien with a valid Social Security number.

Phase-Outs and Limitations

The Child Tax Credit had income limits that phased out the credit for higher-income families. The income limits for 2018 were:

Filing Status	Income Limit
Single	$75,000
Married Filing Jointly	$110,000
Married Filing Separately	$55,000
Head of Household	$75,000

For every $1,000 of income above these limits, the credit was reduced by $50. The credit was completely phased out for incomes above $400,000 (single) or $450,000 (married filing jointly).

How to Claim Your Credit

To claim the 2018 Child Tax Credit, you needed to file your federal tax return using Form 1040 or 1040-SR. The credit was claimed as a nonrefundable credit on Schedule 8812, Child Tax Credit.

You would need to provide the Social Security numbers of your qualifying children and certify that they met the residency requirements. The credit was automatically calculated based on the information you provided.

Note: The 2018 Child Tax Credit was the last year it was available as a refundable credit. Starting in 2019, it became a nonrefundable credit.

Worked Examples

Let's look at two examples to illustrate how the Child Tax Credit worked in 2018.

Example 1: Single Parent with One Child

A single parent with one child under 17 has an adjusted gross income (AGI) of $60,000. The parent qualifies for the full $2,000 credit since $60,000 is below the $75,000 income limit.

Example 2: Married Couple with Two Children

A married couple with two children (one under 17 and one between 17-24) has an AGI of $120,000. Their income exceeds the $110,000 income limit by $10,000. The credit is reduced by $50 for every $1,000 over the limit, so the couple's credit is reduced by $500. They qualify for $3,000 ($2,000 + $500) in the Child Tax Credit.

Frequently Asked Questions

How much was the 2018 Child Tax Credit?

The 2018 Child Tax Credit was $2,000 per child under age 17 and $500 per child between ages 17 and 24. The credit was fully refundable for most taxpayers.

Who was eligible for the 2018 Child Tax Credit?

US citizens and resident aliens with a valid Social Security number who had qualifying children were eligible. The credit phased out for incomes above certain limits.

How do I claim the 2018 Child Tax Credit?

You claim the credit on Schedule 8812, Child Tax Credit, when filing your federal tax return. You'll need to provide the Social Security numbers of your qualifying children.

Was the 2018 Child Tax Credit refundable?

Yes, the 2018 Child Tax Credit was fully refundable for most taxpayers. This meant you could receive the credit even if your tax liability was zero.

What happened to the Child Tax Credit after 2018?

Starting in 2019, the Child Tax Credit became a nonrefundable credit. The amount was reduced to $2,000 per qualifying child and was no longer fully refundable.