As any parent will tell you, raising a kid is expensive and some places are more expensive than others.
Rhode Island, like many New England states, is considered one of the more expensive places. A study by Smart Asset last year put it in the top 10, with an annual cost of $27,630. The median annual cost, according to the study, is $22,850.
Which is why, politicians have been talking about the Child Tax Credit in recent years, which could save families thousands of dollars.
As tax season nears, here's what you need to know about qualifying for your 2024 taxes.
Tax credit per child for 2024
The maximum tax credit per qualifying child is $2,000 for children under 17. For the refundable portion of the credit (or the additional child tax credit), you may receive up to $1,700 per qualifying child.
What to know ahead of filing season: What are the tax brackets for tax years 2024 and 2025?
Who qualifies for the child tax credit?
There are several requirements to qualify. The first is you must be a parent or guardian who is filing taxes in 2025.
For your child or dependent to qualify, they must have a Social Security number that is valid for employment in the U.S., according to the IRS. They must be under 17 years old at the end of the year. The other requirements are:
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They are your son, daughter, stepchild, eligible foster child, brother, sister, stepbrother, stepsister, half-brother, half-sister, step-sibling or descendant (such as a niece, nephew or grandchild).
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They provide no more than half of their own financial support during the tax year.
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They have lived with you for more than half the tax year.
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They are properly claimed as your dependent on your tax return.
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They do not file a joint return with their spouse for the tax year, or they file it only to claim a refund of withheld income tax or estimated tax paid.
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They are a U.S. citizen, U.S. national or U.S. resident.
The value of the child tax credit and additional tax credit decreases if the parent or guardian's gross income is more than $200,000 when filing individually, or more than $400,000 if filing a joint return with a spouse.
The additional tax credit cannot be given to those who file a Form 2555 or Form 2555-EZ, excluding foreign earned income.
How to claim the child tax credit?
You can receive the Child Tax Credit by listing your children and other dependents on a 1040 form, which is the U.S. individual income tax return. You must also complete a schedule 8812, which is or credits for qualifying children and other dependents.
This article originally appeared on The Herald News: Child tax credit 2024: Here's how much it is, if you qualify per IRS