WHAT IS A DEPENDENT TAX CREDIT? The dependent tax credit is a brand new tax credit. The old tax break for dependents was eliminated for 2018 during the overhaul of the tax system. Now you can get a credit worth either $500 or $200. It all depends on your modified adjusted gross income, however.
TAX CREDITS FOR A DEPENDENT CHILD The main tax credit for a dependent child is the Child Tax Credit. If your child is under the age of 17, you’ll see your taxable income reduced by $2,000. Take note that a dependent child may only be claimed on a single tax return.
WHAT IS A DEPENDENT TAX EXEMPTION?
Under the old system, a dependent on your tax return would reduce your taxable income. However, from 2018, this has all changed, and it no longer exists. WWW.INTERNETTAXCONNECTION.COM/WHAT-IS-A-DEPENDENT-TAX-CREDIT