Child tax credit in Vermont
Varies
Does Vermont Have a Child Tax Credit?
Short answer: Yes: $1,000 per child age 6 or younger at year-end. Reduced by $20 per $1,000 of AGI above $125,000 (any filing status), so it's gone at $175,000. Fully refundable; available regardless of SSN/ITIN status.
Child care: 72% of the federal child and dependent care credit. Fully refundable (residents and part-year residents). Act 71 (2025) extended the child tax credit to age 6, retroactive to 2025. Personal/dependent exemption is $5,300 (2025). 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 Vermont
Varies
Individuals / Personal Taxes
Yes: $1,000 per child age 6 or younger at year-end. Reduced by $20 per $1,000 of AGI above $125,000 (any filing status), so it's gone at $175,000. Fully refundable; available regardless of SSN/ITIN status.
Business justification
Yes: $1,000 per child age 6 or younger at year-end. Reduced by $20 per $1,000 of AGI above $125,000 (any filing status), so it's gone at $175,000. Fully refundable; available regardless of SSN/ITIN status. Child care: 72% of the federal child and dependent care credit. Fully refundable (residents and part-year residents). Act 71 (2025) extended the child tax credit to age 6, retroactive to 2025. Personal/dependent exemption is $5,300 (2025). 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