Child Tax Credit in North Dakota, Raising a child is expensive—and families across North Dakota are always looking for ways to ease the financial pressure. The Child Tax Credit (CTC) is one of the most significant financial relief tools offered by the federal government. In 2025, this credit is set to bring even more support to working and low-income families in North Dakota, helping them cover the growing costs of raising children.

Whether you’re new to filing taxes or a seasoned parent just trying to keep up with policy changes, this guide will explain everything you need to know about the Child Tax Credit in North Dakota for 2025—including how much you can get, who qualifies, and how to claim it.

What is the Child Tax Credit?

The Child Tax Credit (CTC) is a federal tax benefit designed to help families with the cost of raising children. It reduces your tax bill on a dollar-for-dollar basis—and depending on your income and number of children, you could even receive a refund if the credit exceeds the amount of tax you owe.

As of 2025, the maximum Child Tax Credit per qualifying child is $2,000, but lawmakers are actively discussing an expansion that could increase this amount. Even if your income is too low to owe taxes, you might still qualify for a partial refund, known as the Additional Child Tax Credit.

Role of North Dakota in the Child Tax Credit

While the Child Tax Credit is a federal program, North Dakota families benefit just like those in any other state. Although the state of North Dakota does not offer its own additional CTC, residents still qualify for the full federal benefit as long as they meet the eligibility requirements.

Many families in North Dakota may also qualify for state-level tax benefits and programs like the Earned Income Tax Credit (EITC), which can further reduce your financial burden.

Eligibility: Who Qualifies for the Child Tax Credit in North Dakota?

To qualify for the Child Tax Credit in 2025, North Dakota families must meet the following criteria:

✅ Relationship: The child must be your son, daughter, stepchild, foster child, sibling, or a descendant (like a grandchild or niece/nephew).
✅ Age: The child must be under age 17 at the end of the tax year (2025).
✅ Support: You must have provided more than half of the child’s financial support during the year.
✅ Residency: The child must have lived with you for more than half the year.
✅ Citizenship: The child must be a U.S. citizen, U.S. national, or U.S. resident alien and have a valid Social Security number.
✅ Income: You must fall within the income thresholds discussed below.

Income Limits for Child Tax Credit 2025

For the 2025 tax year, income limits still apply to determine how much of the Child Tax Credit you can claim. Here’s a breakdown:

If your income exceeds these thresholds, your Child Tax Credit will be reduced by $50 for every $1,000 of income over the limit.

How Much is the Child Tax Credit in 2025?

As of now, the maximum amount you can receive per qualifying child under 17 is $2,000.

However, there are talks in Congress about expanding the CTC once again—potentially increasing the credit up to $3,600 per child, especially for younger children under 6. Stay tuned for updates during tax season.

Even if you owe no taxes, you may be eligible to receive up to $1,600 as a refund through the Additional Child Tax Credit.

Real-Life Example: The Johnson Family in Bismarck, ND

Let’s break it down with a real-world example:

Family: John and Lisa Johnson, married, two children (ages 5 and 9)
Filing Status: Married Filing Jointly
Household Income: $85,000

✔ Both children are under 17
✔ The family falls under the income limit ($400,000)

Result: They qualify for the full $4,000 ($2,000 × 2 children) Child Tax Credit. Because they owe $3,200 in federal taxes, the credit reduces their tax bill to just $0, and they get a refund for the remaining $800 as an Additional Child Tax Credit.

How to Claim the Child Tax Credit in North Dakota

Claiming the credit is simple:

1. File your federal tax return (Form 1040).
2. Use Schedule 8812 to calculate your credit.
3. Enter the credit amount on your return.

If you’re using tax software (like TurboTax, H&R Block, or FreeTaxUSA), the process is automated. Just enter your child’s information, income, and filing status—and the software does the rest.

What About Families with No Income?

Good news! Even if you had little or no income in 2025, you may still be eligible for a refundable portion of the Child Tax Credit—thanks to the Additional CTC.

In fact, families in rural parts of North Dakota with seasonal or part-time jobs often qualify for this refund, which can provide much-needed support during tough economic times.

Other Child-Related Tax Benefits for North Dakotans

Besides the Child Tax Credit, families in North Dakota may qualify for:

• Earned Income Tax Credit (EITC) – Refundable credit for low-to-moderate income families.
• Child and Dependent Care Credit – Helps cover childcare costs.
• Education Credits (AOTC, LLC) – For parents with college students.
• 529 College Savings Plan (ND Scholars Program) – State-supported education savings with tax advantages.

Tips for Maximizing Your Credit (2025)

✅ File Early: The sooner you file, the sooner you receive your refund.
✅ Double-Check Child SSNs: Errors in Social Security numbers can delay or deny your credit.
✅ Stay Below Income Thresholds: If you’re close to the cutoff, consider reducing taxable income through IRA contributions or HSA accounts.
✅ Use Tax Software: Avoid errors and automatically claim all available credits.
✅ Consider a Tax Professional: Especially if you’re self-employed or have multiple children.

Conclusion

The Child Tax Credit in North Dakota for 2025 is a financial lifeline for many families, offering up to $2,000 per child and potential refunds even if you owe no tax. With the right information and filing process, you can ensure you get every dollar you’re eligible for.

From Bismarck to Fargo, families across North Dakota should take full advantage of this powerful credit. Whether you’re a working parent, a single mom, or a family with no income, the Child Tax Credit can be your safety net in 2025.

20 FAQs on Child Tax Credit by North Dakota (2025): What Every Parent Must Know

1. What is the Child Tax Credit and how does it work in 2025?

The Child Tax Credit (CTC) is a federal tax benefit designed to ease the financial burden of raising children. In 2025, the credit remains one of the most impactful tax reliefs available to parents. It offers up to $2,000 per qualifying child under age 17, and a portion of it—up to $1,600—is refundable if the credit exceeds the taxes you owe.

Here’s how it works:

• When you file your federal tax return (Form 1040), you claim the CTC for each qualifying child.
• The credit first offsets any federal income tax you owe.
• If your tax liability is less than the credit, you may receive the rest as a refund through the Additional Child Tax Credit.
• This benefit applies equally to North Dakota residents, as it is a federal program.

2. Who qualifies for the Child Tax Credit in North Dakota?

To qualify in 2025, you must meet these IRS requirements:

• Child’s Age: Must be under 17 at the end of the year.
• Relationship: Must be your child, stepchild, foster child, sibling, or a descendant of one (e.g., grandchild or niece).
• Residency: The child must have lived with you for more than half the year.
• Support: You must have provided more than 50% of the child’s support.
• Citizenship: The child must be a U.S. citizen or resident alien with a valid SSN.
• Taxpayer ID: The parent must have an ITIN or SSN and file a federal return.

3. How much is the Child Tax Credit worth in 2025?

As of 2025:

• Maximum CTC per child: $2,000
• Refundable portion (Additional CTC): Up to $1,600
• Families with no tax liability can still receive the refundable portion, depending on their earned income.

Congress is also considering proposals to increase this amount, particularly for younger children and low-income families.

4. Does North Dakota offer a state Child Tax Credit?

No, North Dakota does not offer a state-level Child Tax Credit. However, families can still benefit from the full federal Child Tax Credit and additional federal tax breaks such as:

• Earned Income Tax Credit (EITC)
• Child and Dependent Care Credit
• Education Credits (AOTC, LLC)

These benefits can be claimed on your federal return while residing in North Dakota.

5. How do I claim the Child Tax Credit in North Dakota?

Follow these steps:

1. File a federal tax return (Form 1040).
2. Include Schedule 8812, which calculates your eligibility and refundable portion.
3. Provide all SSNs for each qualifying child.
4. Use tax software or a CPA to avoid mistakes.
5. Submit your return electronically for faster refunds.

There is no separate form for North Dakota residents—everything is processed through your federal return.

6. What if I had no income in 2025—can I still qualify?

Yes. If you had little or no income, you might still qualify for the Additional Child Tax Credit, which is refundable. To be eligible:

• You must have earned at least $2,500 in the year.
• The refundable credit is calculated as 15% of your income over $2,500, up to a cap.

Example:

• Income: $12,500
• Eligible Additional CTC: (12,500 – 2,500) × 15% = $1,500

This is particularly helpful for seasonal, part-time, or low-income families in North Dakota.

7. What are the income limits for the Child Tax Credit in 2025?

The CTC begins to phase out based on your Modified Adjusted Gross Income (MAGI):

For every $1,000 over the threshold, the credit is reduced by $50.

8. Can I claim the CTC if I’m divorced or separated?

Yes, but only one parent can claim the Child Tax Credit per child per year. Typically:

• The custodial parent (the one the child lives with most of the year) claims the credit.
• The noncustodial parent can claim it only if the custodial parent signs Form 8332, giving up their claim.

Be sure to coordinate claims to avoid IRS disputes.

9. Is the Child Tax Credit refundable in 2025?

Yes, up to $1,600 of the credit is refundable in 2025 via the Additional Child Tax Credit. Refundability ensures that families with little or no tax liability still benefit.

This helps low-income and rural North Dakota families, where tax burdens are low but household expenses remain high.

10. When will I receive my refund after claiming the CTC?

The IRS typically begins issuing refunds in late February, especially if your return includes refundable credits like CTC and EITC. Expect:

• E-filing + Direct Deposit: Refund in 2–3 weeks
• Paper filing: 4–6 weeks or longer

Use the IRS “Where’s My Refund” tool to track your refund.

11. Can grandparents or legal guardians claim the Child Tax Credit?

Yes—non-parent caregivers such as grandparents, stepparents, or legal guardians can claim the CTC if they meet:

• Support: Provided more than 50% of the child’s support.
• Residency: Child lived with them for more than 6 months.
• Legal Status: U.S. citizen or resident, valid SSN.

12. How many children can I claim for the Child Tax Credit?

There is no limit on the number of children you can claim for the CTC—as long as each meets the IRS requirements. Larger families, especially in rural North Dakota, benefit significantly.

Example:

• 4 qualifying children = Up to $8,000 in CTC

13. What’s the difference between CTC and EITC?

Both are federal credits but serve different purposes:

• CTC: Helps with the cost of raising children, available to more income levels.
• EITC: Designed to boost earned income for low-income families with or without children.

You can claim both, which can substantially increase your refund.

14. What documents do I need to claim the CTC?

You’ll need:

• Social Security cards for each child
• Proof of residency (school, medical, lease documents)
• Taxpayer ID (SSN or ITIN) for the filer
• Income documentation (W-2, 1099, etc.)
• Custody or guardianship documentation (if not the parent)

15. Can I get the Child Tax Credit if my child is born in 2025?

Yes! Children born at any time in 2025 qualify—as long as they meet the criteria. Make sure to:

• Apply for a Social Security Number immediately.
• Include the child in your 2025 tax return, filed in early 2026.

16. What happens if I make a mistake claiming the CTC?

The IRS may delay or deny your refund if:

• You enter the wrong SSN
• You claim a child who was already claimed
• You incorrectly calculate your income or tax liability

To avoid issues:

• Use trusted tax software
• Consider hiring a tax professional
• Respond promptly to IRS letters

17. Will the Child Tax Credit be expanded in 2025?

Congress has proposed increasing the CTC back to $3,000–$3,600, similar to the 2021 pandemic levels. While not yet passed, families should watch for mid-year updates, especially during an election cycle.

18. Can I use the CTC refund for any purpose?

Yes. The CTC refund is cash deposited into your account—you can use it for:

• Childcare
• School supplies
• Rent or mortgage
• Savings
• Medical bills

It is not restricted, giving families true flexibility.

19. What other tax credits should North Dakota parents explore?

Besides the CTC:

• Earned Income Tax Credit (EITC)
• Child and Dependent Care Credit
• American Opportunity Tax Credit (AOTC)
• Lifetime Learning Credit (LLC)
• Saver’s Credit
• 529 College Savings Tax Deductions (ND Scholar Program)

Each offers unique eligibility rules and financial benefits.

20. Where can I get help with claiming the Child Tax Credit in North Dakota?

Free and low-cost resources include:

• IRS Free File (for income < $73,000)
• Volunteer Income Tax Assistance (VITA) sites in North Dakota
• North Dakota Department of Human Services
• Local libraries, schools, and nonprofit tax clinics

For complex cases, consult a certified tax preparer or CPA specializing in family tax credits.