$500 Credit you Can Claim in June — IRS Makes it Official

As tax season rolls on, millions of American families are scrambling to claim valuable credits and rebates that can ease their financial burdens. Among the most significant are the Child Tax Credit (CTC) and the Additional Child Tax Credit (ACTC)—designed to directly reduce your tax bill and even offer refundable benefits. But even if you don’t qualify for the CTC this year, there’s another option that could still put money back in your pocket: the $500 Other Dependents Credit.

Let’s break down how these credits work, who qualifies, and how you can still benefit before the tax deadline.

The Child Tax Credit: Up to $2,000 per Child

The Child Tax Credit remains one of the most valuable tax breaks for families in 2025, offering up to $2,000 per qualifying child under the age of 17. Of that amount, up to $1,700 is refundable through the Additional Child Tax Credit.

Eligibility Requirements:

• Child must be 17 years old or younger at the end of the tax year.
• Must be your legal dependent and live with you for more than half the year.
• Must have a valid Social Security Number.
• You must have earned income above $2,500 to claim the refundable portion.
• Your income must be below:
  • $200,000 for single filers
  • $400,000 for married couples filing jointly

Important Note: The current $2,000 credit was established under the Tax Cuts and Jobs Act (TCJA). If Congress does not extend it, the credit may revert to $1,000 per child beginning in 2026.

What Is the Additional Child Tax Credit?

If your tax liability is less than the full Child Tax Credit, you can claim the refundable portion as the Additional Child Tax Credit (ACTC). This means you could still receive up to $1,700 per child as a refund, even if your income taxes owed are $0.

This credit is particularly helpful for low-income families, allowing them to benefit even when they don’t owe much in taxes.

Didn’t Qualify? You May Still Be Eligible for the $500 Other Dependents Credit

If your dependents don’t meet the Child Tax Credit criteria, the IRS offers another option: the Credit for Other Dependents, worth up to $500 per dependent.

This credit applies to:

• Children who are over 17 or otherwise ineligible for the CTC
• Elderly parents or relatives you financially support
• College students, provided they meet IRS dependency rules
• Non-relatives who live with you and rely on your support

Additional Requirements:

• Your income must still be under $200,000 (single) or $400,000 (married filing jointly).
• The dependent must have a valid SSN or ITIN.
• You must provide more than half of their financial support.

IRS Can Take Away your Refund ― Don’t Make this Common Mistake

Tip: You can claim this credit alongside the Earned Income Tax Credit (EITC) and the Child and Dependent Care Credit for additional savings.

How to Check If You’re Due a Refund

With the April 15, 2025 tax filing deadline quickly approaching, here’s how to check your refund status and avoid missing out:

Action	Why It Matters
Use the IRS “Where’s My Refund?” Tool	Tracks refund status within 24 hours of e-filing
File early and accurately	Reduces chances of IRS delays or audit
Respond promptly to IRS requests	Additional documents may be needed to process your refund
Check for credit eligibility	Even if you don’t qualify for one credit, others may apply

Not everyone who files taxes will receive a refund. Refunds are based on the difference between your tax liability and withholdings or credits, so understanding what you qualify for is key.

Even if you missed out on the Child Tax Credit, the $500 Credit for Other Dependents could provide meaningful relief—especially if you care for elderly parents, college-aged children, or other dependents. As the tax deadline approaches, make sure to explore all available credits, ensure your dependents meet the criteria, and use IRS tools to stay updated on your refund status.

These credits don’t just lower your tax bill—they could make a real difference in your financial well-being this year.

FAQs