If you are a US parent living in Hong Kong, China, or Macau, it is easy to overlook the child tax credit income limits when juggling all the details of overseas living. Yet these limits are crucial for maximizing your family’s tax benefits and staying fully compliant with IRS rules. Below, you will find a friendly guide that walks you through how income thresholds work, why Social Security numbers matter, and what you need to know about claiming these credits while living abroad.

Confirm your income thresholds

For the 2025 tax year, the child tax credit is worth up to $2,200 per qualifying child under age 17. You receive the full credit if your modified adjusted gross income (MAGI) is at or below:

  • $200,000 for single filers
  • $400,000 for married couples filing jointly

If you earn above these amounts, you may still be eligible for a partial credit. The IRS reduces your child tax credit by $50 for every $1,000 of income over the threshold. This phaseout means you do not automatically lose the entire credit if you exceed the limit, but the benefit gradually shrinks as your income rises.

What this means for expat parents

If you live in Hong Kong, China, or Macau, these thresholds still apply—even if you are filing taxes from abroad. Keep careful records of your total worldwide income, including foreign wages and self-employment earnings. Some parents choose to apply foreign tax credits or exclusions, but remember that child tax credit calculations generally consider your gross income before foreign exclusions.

Secure valid SSNs for children

Claiming the child tax credit requires both you (and your spouse if filing jointly) and each qualifying child to have a valid Social Security number (SSN). This requirement is new as of 2025. If your child was born overseas, you must apply for an SSN through the US embassy or consulate where you live. Although an Individual Taxpayer Identification Number (ITIN) is useful in other tax situations, an ITIN is not sufficient for the child tax credit.

Steps to get an SSN abroad

  1. Gather your child’s birth certificate and proof of US citizenship.
  2. Contact the nearest US embassy or consulate and request instructions to apply for an SSN.
  3. Submit the application and required documents. Processing can take a few weeks, so plan ahead.

If you need more details on qualifying child rules, check out our guide on child tax credit eligibility criteria. You can also see how dependents fit into tax filing in our article on dependents and tax filing requirements.

Claim additional family credits

In addition to the standard child tax credit, you may also qualify for:

  • Additional Child Tax Credit (ACTC): If your earned income surpasses $2,500, you can claim a refundable portion of your child tax credit—up to $1,700 per child. This refund can help reduce your overall tax burden even if you owe little or no tax.
  • Credit for Other Dependents: If you have older children or other qualifying relatives who do not meet the child tax credit criteria, you might get up to $500 for each dependent. Phaseouts apply once your income passes the same $200,000 or $400,000 thresholds.

Both of these credits align with the same thresholds as the main child tax credit. For more tips on dependents and potential deductions, see our resource on dependents and tax deductions.

File your taxes from abroad

As an American expat parent, you must file a US tax return each year even if you live and work outside the country. The process involves:

  1. Completing Form 1040, the standard individual tax return.
  2. Attaching Schedule 8812 to calculate and claim the Child Tax Credit and Additional Child Tax Credit.
  3. Providing valid SSNs for yourself, your spouse, and your qualifying children.

You may also need to file an FBAR or claim foreign tax credits, depending on your situation. If you want an overview of more credits valid for families overseas, check out our article on tax credits for families abroad.

Frequently asked questions

Do I still qualify if I have a high income?

You can qualify for a partial credit if your income surpasses $200,000 (single) or $400,000 (joint). The credit gradually phases out, so you may not receive the full $2,200 per qualifying child, but it does not disappear all at once.

What if my child was born outside the US?

Your child must have a valid SSN. If you are still waiting for the SSN, you cannot claim the child tax credit yet. Once the SSN arrives, you can file or amend your return, if necessary, to claim the credit.

When does the IRS issue refunds for these credits?

The IRS cannot release refunds involving the Earned Income Tax Credit or the Additional Child Tax Credit until at least mid-February. This policy remains in effect even if part of your refund is unrelated to these credits.

Can I claim dependents even if we’re overseas all year?

Yes, your dependents do not have to reside in the US. However, you must ensure you meet the support tests, relationship tests, and other criteria. Learn more at claiming dependents on taxes.

Key takeaways

  • The child tax credit offers up to $2,200 per child if your MAGI is at or below $200,000 (single) or $400,000 (joint).
  • You can still qualify for a partial child tax credit if you earn above these limits.
  • A valid SSN is mandatory for you, your spouse, and each qualifying child.
  • The Additional Child Tax Credit (ACTC) may pay you up to $1,700 per child if your earned income exceeds $2,500.
  • Filing from abroad requires completing Form 1040 and Schedule 8812 to claim the credit.

If you have questions about navigating these child tax credit income limits or want professional guidance, we are here to help. Our team at American Pacific Tax specializes in assisting families abroad with their US tax returns. Reach out for personalized support in claiming dependents and maximizing your eligible benefits—without any worries about missing critical details.