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Texas · Child Tax Credit

Child Tax Credit in Texas (2026)

$2,000 tax credit per qualifying child under age 17 ($1,700 refundable). Texas has no state income tax, so a Texas filer's combined marginal rate on the next dollar at $67,321 of income is about 22% (22% federal).

2026 savings example for Texas

Planning estimate for a single filer earning $67,321 (Texas median household income in LevyIO's state dataset) who claims a $2,000 credit. Federal tax uses the 2026 IRS brackets after the $16,100 standard deduction; TX tax uses the state brackets in LevyIO's dataset.

Estimated total savings

$2,000

Federal savings

$2,000

$5,981$3,981 · 22% bracket

TX state savings

$0

No state income tax

Combined marginal rate

22%

Credits do not depend on the bracket

Statutory maximum for this item in LevyIO's dataset: $2,000.

Federal × Texas marginal rates (2026, single)

Gross-income ranges include the federal standard deduction. The TX column is the state marginal rate at the midpoint of each range (Texas has no income tax). A credit saves its face value regardless of bracket.

Federal bracketGross income (single)TX marginalCombinedPer $1,000
10%$16,100 - $28,5000%10%$1,000
12%$28,500 - $66,5000%12%$1,000
22%$66,500 - $121,8000%22%$1,000
24%$121,800 - $217,8750%24%$1,000
32%$217,875 - $272,3250%32%$1,000
35%$272,325 - $656,7000%35%$1,000
37%Over $656,7000%37%$1,000

Eligibility & forms

Parents with qualifying children under 17

  • $2,000 per child under 17
  • $1,700 refundable portion
  • SSN required for child

Federal forms: Form 1040, Schedule 8812

Texas filing notes

No income tax saves significantly. High property taxes offset for homeowners. Texas offers residence homestead exemptions, additional age 65 or disabled exemptions, appraisal-value limits, and appraisal protest rights. Verify details with the county appraisal district.

Common mistakes: Child turning 17; Missing SSN requirement.

Frequently asked questions

How much can the Child Tax Credit save a Texas taxpayer in 2026?

Credits reduce tax dollar-for-dollar. In LevyIO's example, a single filer with $67,321 of income (the Texas median household income in our state dataset) and a $2,000 credit would cut 2026 federal tax from $5,981 to $3,981, a $2,000 saving. Whether Texas offers a matching state credit depends on the TX return, so the estimate counts federal savings only.

What is the Texas income tax rate for 2026?

Texas has no state income tax. The TX standard deduction in LevyIO's dataset is $0 single / $0 married. No income tax (constitutionally prohibited). Second-highest property taxes (1.68%). High sales tax.

Who qualifies for the Child Tax Credit in Texas?

Parents with qualifying children under 17. The federal rules are the same in every state; the requirements are: $2,000 per child under 17; $1,700 refundable portion; SSN required for child. Texas filers should confirm on the TX return whether the state follows the federal treatment.

Which forms do I file to claim the Child Tax Credit?

Federal: Form 1040, Schedule 8812. Texas has no individual income tax return for wage income, so there is no state form to file for this item. Common mistakes: Child turning 17; Missing SSN requirement.

Sources

Reviewed 2026-09-17. Estimates are educational planning figures computed from the IRS 2026 inflation adjustments and LevyIO's state bracket dataset; they are not tax advice.