What’s the difference between the child tax credit and a dependent exemption?
An exemption will directly reduce your income. A credit will reduce your tax liability.
A dependent exemption is the income you can exclude from taxable income for each of your dependents. Prior to tax year 2018, you could exclude $4,300 for each dependent.
The child tax credit is a credit that offsets the tax you owe dollar for dollar. You can only claim the child tax credit if you claim the child as a dependent. Learn more about the child tax credit.
Need to know how to calculate estimated taxes? We're here to help. Get tax answers from H&R Block today.
Can you claim yourself as a dependent? The answer may surprise you. Get tax answers today at H&R Block.
Discover the income limits for education tax credits from the tax experts at H&R Block.
Learn more about filing taxes when married and operating a business with advice from the tax experts at H&R Block.