child tax credit limit???

[weluvdizne]

O.K., so one of DH's coworker's told him today that the IRS limits the # of children you take credit for on your 1040. She said that they limit you to 2 children, with the exception of last year because of the economy. I have never heard of this before. We currently have 2 kids, but our 3rd is due in a little more than 7 weeks. We are really confused about this.
Anyone know the answer? TIA

 

[Bren's Mom]

http://www.irs.gov/newsroom/article/0,,id=106182,00.html

 

[Myhappythought5]

We have claimed 3 for the past 3 years, and I have a friend who has 6 children and has claimed all of them every year. So unless it is something new I have no clue.

 

[weluvdizne]

Thank you for the quick responses! I knew my Budget Board buddies would help me out. I appreciate the link and the personal experience answers.

I am put at ease now, as well. Thank you, again! Budget Board ROCKS!!!

 

[bumbershoot]

For the future, I wanted to let you know that the people who answer the phone at the IRS are very kind and helpful. I've called them about happy, sad, and neutral things, and they have always been courteous and knowledgable. And if you're calling during a time that is NOT tax time, they tend to answer the phone rather quickly, as a little bonus.

 

[Kitten0819]

You may be thinking of the Earned Income Tax Credit which is a credit for children but the income limits are for lower income families. This is usually limited to two kids (was three kids in 2009) and its a refundable credit with a max credit of over $5,000 (prorated based on earned income). The child tax credit and additional child tax credit is not limited in the number of children as long as they fall under the age limit (under 17) however unless their is some tax reform in the next few months the child tax credit is about to go from 1000 a child back down to 500 a child for 2010 returns.

 

[disneychrista]

He may be thinking of the Earned Income Credit that does limit it at 2 kids. But was increased to 3 in 2009 & 2010.

 

[wmharley]

An unless Obama and the rest of the majority in Congress pass the extensions for the tax cuts, this will get reduced. I believe from 1K to $500.