Child tax credit in Arizona
Varies
Does Arizona Have a Child Tax Credit?
Short answer: Yes: Dependent Tax Credit: $125 per dependent under 17 (up from $100 starting tax year 2026) and $25 per dependent 17 or older. Reduced by 5% per $1,000 of federal AGI above $200,000 ($400,000 joint). Nonrefundable.
The $125 amount was enacted in 2026 (HB 4168 / SB 1861) and is retroactive to January 1, 2026. Arizona has no child and dependent care expense credit. The federal child tax credit is $2,200 per child under 17 for 2026 and is claimed on Form 1040 regardless of state.
Records to keep: Keep your state return, W-2s and 1099s (1099-R, SSA-1099), and any state credit worksheets. Check your state revenue department's current-year instructions before you file.
Child tax credit in Arizona
Varies
Individuals / Personal Taxes
Yes: Dependent Tax Credit: $125 per dependent under 17 (up from $100 starting tax year 2026) and $25 per dependent 17 or older. Reduced by 5% per $1,000 of federal AGI above $200,000 ($400,000 joint). Nonrefundable.
Business justification
Yes: Dependent Tax Credit: $125 per dependent under 17 (up from $100 starting tax year 2026) and $25 per dependent 17 or older. Reduced by 5% per $1,000 of federal AGI above $200,000 ($400,000 joint). Nonrefundable. The $125 amount was enacted in 2026 (HB 4168 / SB 1861) and is retroactive to January 1, 2026. Arizona has no child and dependent care expense credit. The federal child tax credit is $2,200 per child under 17 for 2026 and is claimed on Form 1040 regardless of state.
Category
- Personal Tax Deductions