Federal Form 8812 - Additional Child Tax Credit Instructions

What's New

Future developments. The IRS has created a page on IRS.gov for information about Form 8812 and its instructions, at http://www.irs.gov/uac/Form-8812,-Additional-Child-Tax-Credit. Information about any future developments affecting Form 8812 (such as legislation enacted after we release it) will be posted on that page.

Purpose of Form

Use Form 8812 to figure your additional child tax credit. The additional child tax credit may give you a refund even if you do not owe any tax.

Who Should Use Form 8812

First, complete the Child Tax Credit Worksheet that applies to you. See the instructions for Form 1040, line 51, Form 1040A, line 33, or Form 1040NR, line 48. If you meet the condition given in the TIP at the end of your Child Tax Credit Worksheet, use Form 8812 to see if you can take the additional child tax credit.

Effect of Credit on Welfare Benefits

Any refund you receive as a result of taking the additional child tax credit will not be used to determine if you are eligible for the following programs, or how much you can receive from them. But if the refund you receive because of the additional child tax credit is not spent within a certain period of time, it may count as an asset (or resource) and affect your eligibility.

  • Temporary Assistance for Needy Families (TANF).
  • Medicaid and supplemental security income (SSI).
  • Supplemental Nutrition Assistance Program (food stamps) and low- income housing.
  • Any other benefits or assistance under any federal programs or under any state or local program financed in whole or in part with federal funds.

Nontaxable Combat Pay

Enter on line 4b the total amount of nontaxable combat pay that you, and your spouse if filing jointly, received in 2011. This amount should be shown in Form W-2, box 12, with code Q.

Railroad Employees

If you worked for a railroad, include the following taxes in the total on Form 8812, line 7.

  • Tier 1 tax withheld from your pay. This tax should be shown in box 14 of your Form(s) W-2 and identified as "Tier 1 tax."
  • If you were an employee representative, 50% of the total tier 1 tax you paid for 2011.

1040A Filers

If you, or your spouse if filing jointly, had more than one employer for 2011 and total wages of over $106,800, figure any excess social security and tier 1 railroad retirement (RRTA) taxes withheld. See Pub. 505. Include any excess on Form 8812, line 10.

Earned Income Chart - Line 4a

IF you...

AND you... THEN enter on line 4a..
have net earnings from self- employment use either optional method to figure those net earnings the amount figured using Pub. 972.
are taking the EIC on Form 1040, line 64a, or Form 1040A, line 38a completed Worksheet B of the EIC instructions in your Form 1040 instructions your earned income from Worksheet B, line 4b, plus all of your nontaxable combat pay if you did not elect to include it in earned income for the EIC. If you were a member of the clergy, subtract (a) the rental value of a home or the nontaxable portion of an allowance for a home furnished to you (including payments for utilities), and (b) the value of meals and lodging provided to you, your spouse, and your dependents for your employer’s convenience.

did not complete Worksheet B or filed Form 1040A

your earned income from Step 5 of the EIC instructions in your tax return instructions, plus all of your nontaxable combat pay if you did not elect to include it in earned income for the EIC.

are not taking the EIC

were self-employed, or you are filing Schedule SE because you were a member of the clergy or you had church employee income, or you are filing Schedule C or C-EZ as a statutory employee

the amount figured using Pub. 972.

are not self-employed or filing Schedule SE, C, or C-EZ for the above reasons

your earned income figured as follows:

Line 7 of Form 1040 or Form 1040A, or line 8 of Form 1040NR

Subtract, if included on line 7 (line 8 for Form 1040NR), any:

  • Taxable scholarship or fellowship grant not reported on a Form W-2.
  • Amount received for work performed while an inmate in a penal institution (put " PRI" and the amount subtracted in the space next to line 7 of Form 1040 or 1040A (line 8 for Form 1040NR)).
  • Amount received as a pension or annuity from a nonqualified deferred compensation plan or a nongovernmental section 457 plan (put "DFC" and the amount subtracted in the space next to line 7 of Form 1040 or Form 1040A (line 8 for Form 1040NR)). This amount may be shown in box 11 of your Form W-2. If you received such an amount but box 11 is blank, contact your employer for the amount received as a pension or annuity.
  • Amount from Form 2555, line 43, or Form 2555-EZ, line 18.

Add all your nontaxable combat pay from Form(s) W-2, box 12, with code Q

Earned income = ___________