If you do not qualify for the Child Tax Credit or the Additional Child Tax Credit, the Tax Cuts and Jobs Act (TCJA) introduced the Other Dependent Credit (ODC).
Here are the qualifications:
- The individual is the taxpayer’s older child, parent, relative, or someone unrelated to the taxpayer. However, they must have lived with the taxpayer for the entire tax year
- The maximum credit is $500 per qualifying dependent
- The dependent must be a U.S. citizen, a U.S. national, or a U.S. resident alien
- Taxpayers must list the name and Social Security number or individual taxpayer identification number per qualifying dependent
The credit phases out when the taxpayer’s income is more than $200,000 ( or $400,000 for joint filers) for the tax year.
