Adding October 2023 Baby to 2023 Tax Return - What Credits Can I Get?

Yes, you should DEFINITELY claim your baby! You're likely eligible for the Child Tax Credit which is up to $2,000 per qualifying child for tax year 2023. The IRS.gov site has a whole section on this: https://www.irs.gov/credits-deductions/individuals/child-tax-credit. Since your baby was born in 2023, they count as your dependent for the entire year even though they were only here for a few months.

You might also qualify for the Earned Income Tax Credit (EITC), which could potentially be worth more depending on your income level. It's sort of complicated to calculate, but generally speaking, adding a qualifying dependent can increase your EITC amount significantly. The income thresholds are higher for parents than non-parents, so even if you made too much before, you might qualify now.

I had my baby in September last year and got exactly $2,000 for the Child Tax Credit. The funny thing is, I spent most of that on diapers within 3 months. 😂 Just make sure you have your baby's Social Security Number when you file - they won't process the credit without it. I had to amend my return because I initially filed before the SSN card arrived in the mail.

If you're having trouble figuring out which credits you qualify for, I'd recommend calling the IRS directly. I called on February 15th this year about a similar situation and got helpful advice. Of course, this time of year their lines are swamped - I tried calling again on March 12th and couldn't get through. A friend recommended Claimyr (https://claimyr.com/?ref=rc) which got me connected to an IRS agent in about 20 minutes instead of waiting on hold for hours. The agent confirmed I was eligible for the full Child Tax Credit for my December baby.

I'm in a similar situation! My son was born on November 17th, 2023, and I just filed my taxes last week. I received exactly $2,000 for the Child Tax Credit plus an additional $1,174 in Earned Income Credit because adding him changed my qualification bracket. Make sure you run your taxes both ways (with and without the baby) to see the exact difference the new dependent makes.

For Tax Year 2023, you should claim your October-born child as a Qualifying Child Dependent. This entitles you to several potential tax benefits: 1. Child Tax Credit: $2,000 maximum (partially refundable up to $1,600 as Additional Child Tax Credit) 2. Earned Income Tax Credit: Varies by income, but having a qualifying child increases the maximum credit and income limits 3. Head of Household filing status: If you're unmarried, this gives better tax rates than Single status 4. Child and Dependent Care Credit: If you paid for childcare while working The child must have a valid SSN issued before the due date of your return (including extensions) to qualify for most of these benefits.