How to renter Child Tax Credit in Lacerte Tax software ?

This credit is for people who have a qualifying child as defined below. It is in addition to the credit for child and dependent care expenses (on Form 1040, line 49; Form 1040A, line 31; or Form 1040NR, line 47) and the earned income credit (on Form 1040, line 66a; or Form 1040A, line 42a).

The maximum amount you can claim for the credit is $1,000 for each qualifying child.

Qualifying Child:

A qualifying child for purposes of the child tax credit is a child who:

1. Is your son, daughter, stepchild, foster child, brother, sister, stepbrother, stepsister, half brother, half sister, or a descendant of any of them (for example, your grandchild, niece, or nephew).
2. Was under age 17 at the end of 2015.
3. Did not provide over half of his or her own support for 2015.
4. Lived with you for more than half of 2015.
5. Is claimed as a dependent on your return.
6. Does not file a joint return for the year (or files it only to claim a refund of withheld income tax or estimated tax paid)
7. Was a U.S. citizen, a U.S. national, or a U.S. resident alien. For more information. If the child was adopted.

Filers who have certain child dependents with an IRS Individual Taxpayer Identification Number (ITIN).

If you are claiming a child tax credit or additional child tax credit for a child identified on your tax return with an ITIN, you must complete Part I of Schedule 8812 (Form 1040A or 1040).

  Although a child may be your dependent, you may claim a child tax credit or additional child tax credit only for a dependent who is a citizen, national, or resident of the United States. To be treated as a resident of the United States, a child generally will need to meet the requirements of the substantial presence test. For more information about the substantial presence test, see Pub. 519, U.S. Tax Guide for Aliens.

Adopted child.   

An adopted child is always treated as your own child. An adopted child includes a child lawfully placed with you for legal adoption.

Limits on the Credit

You must reduce the maximum credit amount of $1,000 for each child if either (1) or (2) applies.

1.    The amount on Form 1040, line 47; Form 1040A, line 30; or Form 1040NR, line 45, is less than the credit. If this amount is zero, you cannot take this credit because there is no tax to reduce. But you may be able to take the additional child tax credit.

2.    Your modified adjusted gross income (AGI) is more than the amount shown below for your filing status.

a.    Married filing jointly – $110,000.

b.    Single, head of household or qualifying widow(er) – $75,000.

c.    Married filing separately – $55,000.

Foreign earned income :  If you file Form 2555 or 2555-EZ (both relating to foreign earned income), you cannot claim the additional child tax credit.

Output In 1040 Form appears in page 2 (Line 52)

Child tax Credit (Form 8812)

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