ErbI've been asked a lot of questions about the expanded Child Tax Credit under the new tax reform law. In prior years, the Child Tax Credit was nonrefundable which means that if the available tax credit exceeded your tax liability, your tax bill was simply reduced to zero. Under tax reform, part of the Child Tax Credit remains nonrefundable but the "old" Additional Child Tax Credit, which was refundable, has essentially been merged into the new credit. Under tax reform, the child credit also includes a $500 non-refundable credit for qualifying dependents other than qualifying children. And I know that this version of tax reform was supposed to be about simplification but not when it comes to the Child Tax Credit.

Source: Forbes December 21, 2017 16:41 UTC