Summary
Some states in the U.S. have started providing their own child tax credits in addition to the federal Child Tax Credit. These state credits offer financial help to families, with differences in how they are applied; some states provide refundable credits which can result in refunds even for families who owe no taxes. Several states, including Connecticut, are considering or have recently enacted their own child tax credit laws.
Key Facts
- Connecticut's plan for a state child tax credit is still awaiting final approval.
- 16 states and the District of Columbia currently provide some form of child tax credit.
- States began enacting their own credits, with Oklahoma being the first to do so in 2013.
- Credits are either refundable or nonrefundable, affecting how much benefit families receive.
- Refundable credits give money back to families even if they owe no taxes, benefiting lower-income households more.
- State credits vary from about $250 per child in Arizona to $3,200 per child in Colorado.
- The federal Child Tax Credit offers up to $2,200 per child, but only up to $1,700 is refundable for many families.
- The District of Columbia passed child tax credit legislation in 2024, expanding in 2025.
