Comments on: 2007 Child Tax Credit

By: dad

dad — Thu, 17 Apr 2008 11:04:21 +0000

Peachy: You are correct that it’s *potentially* refundable, but it’s not as simple as you’re making it out to be. You have to fill out IRS Form 8812, “Additional Child Tax Credit,” to see if you qualify to claim an additional credit. It’s not automatic. I’ve updated the article to reflect this.

By: Peachy

Peachy — Thu, 17 Apr 2008 03:40:53 +0000

Please look carefully at line 68 on the 1040. You will notice the line reads “Additional Child Tax Credit.” Now, in the example I used previously, Line 57 (“Child Tax Credit”) would be $400, but line 68 (“Additional Child Tax Credit”) would read $1600. Thus, you would get $1600 even though you owed only $400. This is one of the only refundable tax credits available. (yeah! for kids) A little research on your part would confirm this.

By: JD

JD — Tue, 15 Apr 2008 07:06:19 +0000

No, you’re misinformed. A credit can’t reduce your liability below zero (see line 57 on the 1040).

By: Peachy

Peachy — Sun, 24 Feb 2008 21:49:23 +0000

Hmmm…I’m sure by “the child tax credit is not refundable,” you actually mean “the child tax credit is refundable.” If your tax liability is $400, and you are eligible for a $2000 child tax credit, the government will write you a check for $1600.