Taxpayers with dependents who don’t qualify for the child tax credit may be
able to claim the credit for other dependents. The maximum credit amount is
$500 for each dependent who meets certain conditions. These, include:
- Dependents who are age 17 or older.
- Dependents who have individual taxpayer identification
numbers.
- Dependent parents or other qualifying relatives
supported by the taxpayer.
- Dependents living with the taxpayer who aren’t related
to the taxpayer.
The credit begins to phase out when the taxpayer’s income is more than $200,000.
This phaseout begins for married couples filing a joint tax return at $400,000.
A taxpayer can claim this credit if:
- They claim the person as a dependent on the taxpayer’s return.
- They cannot use the dependent to claim the child tax
credit or additional child tax credit.
- The dependent is a U.S. citizen, national or resident
alien.
Taxpayers can claim the credit for other dependents in addition to the child
and dependent care credit and the earned income credit.
Taxpayers can use the worksheet in Publication 972, Child Tax Credit and Credit for Other Dependents. This worksheet will help them determine if they can claim the credit for other dependents.
(Source: IRS Issue Number: Tax Tip 2020-27 )