Introduction
Many taxpayers encounter Schedule 8812 while preparing Form 1040 and wonder if it's a separate return, an optional worksheet, or a required attachment. It's a schedule that travels with your return.
Schedule 8812 is a U.S. federal form. It calculates credits for qualifying children and other dependents. Australian taxpayers shouldn't confuse it with anything from the ATO.
This guide covers what the schedule does, who may qualify, how it connects to Form 1040, which documents you need, and why you should check the IRS instructions for your tax year.
Key Takeaways
- Schedule 8812 supports Form 1040, 1040-SR or 1040-NR and feeds credit results into the main return.
- CTC and Credit for Other Dependents cut tax owed; the Additional Child Tax Credit is refundable.
- Eligibility turns on the child's age, residency, support, SSNs, income and filing status.
- Australian residence alone does not disqualify you, but Form 2555 blocks the ACTC.
- Always use the instructions for the correct tax year.
What Is Schedule 8812 on Form 1040?
The official name and purpose
The IRS title is Schedule 8812 (Form 1040), Credits for Qualifying Children and Other Dependents. People often say "Form 8812," but it's a schedule, not a standalone return. You attach it to Form 1040, 1040-SR or 1040-NR, or include it in an electronic filing.
The three credits
- Child Tax Credit (CTC): a nonrefundable credit for a qualifying child under 17. The maximum is $2,200 per child for tax years 2025 and 2026.
- Credit for Other Dependents (ODC): a nonrefundable credit of up to $500 per eligible dependent who doesn't qualify for the CTC.
- Additional Child Tax Credit (ACTC): the refundable portion of the child credit, up to $1,700 per child. It is not an extra $1,700 on top of $2,200.
Do you need it?
Not everyone who lists a dependent needs Schedule 8812. You need it when you claim one of these credits. The IRS directs claimants to list dependents on Form 1040 and attach the schedule, and eligibility and income limits still apply.
Who May Qualify for Credits Calculated on Schedule 8812?
Qualifying child tests
Under the IRS Child Tax Credit guidance for 2025, the child must meet all of these:
- Be your son, daughter, stepchild, eligible foster child, sibling, step- or half-sibling, or a descendant of one of these
- Be under 17 at year-end
- Must not provide more than half of their own support
- Have lived with you for more than half the year, subject to exceptions
- Be claimed as your dependent and not file a joint return (apart from claiming a refund of withheld tax)
- Be a U.S. citizen, national or resident alien
- Hold an employment-valid SSN issued before the return due date, including extensions
SSN versus ITIN
From 2025, the taxpayer needs a valid SSN, and on a joint return at least one spouse does.
ID rules differ by credit:
- CTC and ACTC: the child needs an employment-valid SSN; an ITIN will not qualify
- ODC: an SSN, ITIN or ATIN issued by the due date works
A child with an ITIN may therefore qualify for the ODC but not the CTC.
Income and earned income
The credit phases out above $400,000 of modified AGI for joint filers and $200,000 for everyone else. It drops by $50 for each $1,000 (or part) over the threshold.
The standard ACTC calculation uses 15% of earned income above $2,500, capped by the credit limits.
Special family situations
- Born or died during the year: the child must have lived with you for more than half the time they were alive.
- Temporary absences: illness, school, business, military service and similar absences count as time together.
- Divorced or separated parents: the custodial parent generally has more nights with the child. The other parent can claim only with a signed Form 8332 attached.
- Competing claims: a parent beats a non-parent. If both parents claim, longer residence wins, then higher AGI.
Other dependents
The ODC covers dependents aged 17 or older and children who lack the required SSN. A qualifying relative must have gross income under $5,200 and rely on you for more than half of their support. One person can't generate both the CTC and ODC.
How to Complete Schedule 8812 and Report the Result on Form 1040
All line numbers below are for tax year 2025. Check them against your year's form.
Before you start
Complete the main parts of Form 1040 first, since Schedule 8812 draws on your income figures. Gather:
- Your prepared Form 1040
- Dependent names, dates of birth and SSNs or ITINs
- Income and earned-income records
- Form 2555 or Form 4563 details, if you have foreign income
- Form 8332, if a separated parent releases the claim
Part I: CTC and ODC
Part I starts with modified AGI from return line 11a. Line 2 adds back excluded Puerto Rico income, Form 2555 lines 45 and 50, and Form 4563 line 15. Excluded foreign income therefore still counts for the phaseout.
You then count qualifying children and other dependents separately. Don't lump them together: an older dependent, or a child without a valid SSN, belongs in the ODC count. The schedule applies the phaseout and the tax-liability limit, and line 14 carries to line 19 of Form 1040.
Part II-A: Additional Child Tax Credit
If your credit exceeds your tax, Part II-A tests the unused portion against the per-child cap and the earned-income formula. Nontaxable combat pay counts as earned income for the ACTC and goes on line 18b. It isn't optional.
Filing Form 2555, or claiming the foreign housing deduction, prevents the ACTC entirely.
Parts II-B and II-C
Part II-B is an alternative calculation for filers with three or more qualifying children and bona fide Puerto Rico residents. It involves Social Security and Medicare taxes. Most people skip it, so follow the Part II-A routing.
Part II-C gives the final ACTC. Line 27 carries to line 28 of Form 1040. The 2025 schedule has no Part III.
Common Schedule 8812 Mistakes to Avoid
TIGTA estimated ACTC improper payments at $4.5 billion, a 13.6% rate, in its fiscal year 2025 report. Common causes:
- Outdated materials: the IRS corrected the SSN heading in 2025 instructions downloaded before 23 January 2026. Don't rely on old articles, and never import the temporary 2021 rules.
- Name and SSN mismatches: these can cause e-file rejection or a math-error notice.
- Duplicate claims: a child already claimed elsewhere triggers screening. Filing first doesn't override the tie-breaker rules.
- Wrong category: putting an ITIN child in the CTC count, or ignoring Form 2555's effect on the ACTC.
- Assuming a dependent equals a credit: you still must meet the SSN, income and tax-liability tests.
If the IRS reduced or denied a credit before, you may need Form 8862 to claim it again. Reckless disregard can bring a 2-year ban, and fraud a 10-year ban.
2026 Tax-Year and Australian-Based Filer Considerations
Tax year 2026
The IRS has 2026 draft versions of the schedule and instructions and warns against filing those drafts. The current-revision page still links the 2025 instructions.
The 2026 CTC and ACTC maximums are confirmed in Revenue Procedure 2025-32. Tax year 2026 returns are generally filed in 2027, so confirm final forms before you file.
Living in Australia
U.S. citizens and resident aliens abroad report worldwide income just like filers in the U.S. Living in Australia does not remove that obligation, and it does not automatically disqualify the credit. The child must live with you for more than half the year, not necessarily in the United States.
Points to watch:
- Form 2555: blocks the ACTC, though the nonrefundable CTC calculation may still apply.
- Form 1040-NR: dependent credits are limited to U.S. nationals and residents of Canada or Mexico, with narrow rules for South Korea and certain Indian students. Australian residence alone isn't a qualifying category.
- Currency: report amounts in U.S. dollars, generally using the exchange rate when income is received or an expense is paid.
- Extension: qualifying filers abroad get an automatic two-month extension, usually to 15 June, though interest runs from April.
- Evidence: if the IRS asks, leases, mortgage records and school or medical records showing addresses help prove residency.
Australian-based taxpayers with complex U.S. filing obligations can get support from VJM Global. Its tax accountants are trained in U.S. tax law and prepare Form 1040 and 1040-NR returns. No adviser can promise a particular credit or refund.
Frequently Asked Questions
Do I have to fill out Form 8812?
Only if you claim the CTC, ODC or ACTC. Listing a dependent doesn't automatically require it, so check the current instructions.
What is the Child Tax Credit and how do I determine it on Schedule 8812?
The credit is up to $2,200 per qualifying child under 17. Schedule 8812 applies child, income, filing-status and tax limits to produce the amount for Form 1040.
What is Schedule 8812 (Child Tax Credit) on Form 1040?
Schedule 8812 is filed with Form 1040, 1040-SR or 1040-NR. It calculates the CTC, ODC and ACTC.
What do I put on Form 1040 for dependents and other credits?
List each dependent on the return, then carry the Schedule 8812 results to the matching credit lines. For 2025, that's lines 19 and 28.
How do I get the Schedule 8812 form?
Download it from the IRS Schedule 8812 page, or use tax software or a professional. Get the version for the correct tax year.
What are the details of Schedule 8812 for the 2026 tax year?
The 2026 IRS materials are still drafts. Confirm amounts, thresholds, line references and any other changes against the final form before you file.
