North Carolina Child Deduction

North Carolina Child Deduction

 

G.S. § 105-153.5(a1) allows a taxpayer a deduction for each qualifying child for whom the taxpayer is allowed a federal child tax credit under section 24 of the Internal Revenue Code. 

 

Important: If you do not have a qualifying child as defined under Internal Revenue Code (“IRC”) section 24, you cannot claim the child deduction. For federal tax purposes, a qualifying child is defined as a child under age 17 at the end of 2019 who meets several other conditions as required by federal law. As enacted, the deduction amount is equal to the amount listed in the table below based on the taxpayer's adjusted gross income (AGI), as calculated under the Code.  For more information, see Page 12 of Form D-401, North Carolina Individual Income Tax Instructions.

Child Deduction Table 

Filing Status

Federal Adjusted Gross Income

Deduction Amount Per Qualifying Child

Married, filing jointly/Qualifying Widow(er)/Surviving Spouse

Up to $40,000

$2,500.00

Over $40,000

Up to $60,000

$2,000.00

Over $60,000

Up to $80,000

$1,500.00

Over $80,000

Up to $100,000

$1,000.00

Over $100,000

Up to $120,000

$500.00

Over $120,000

$0.00

Head of Household

Up to $30,000

$2,500.00

Over $30,000

Up to $45,000

$2,000.00

Over $45,000

Up to $60,000

$1,500.00

Over $60,000

Up to $75,000

$1,000.00

Over $75,000

Up to $90,000

$500.00

Over $90,000

$0.00

Single/Married, filing separately

Up to $20,000

$2,500.00

Over $20,000

Up to $30,000

$2,000.00

Over $30,000

Up to $40,000

$1,500.00

Over $40,000

Up to $50,000

$1,000.00

Over $50,000

Up to $60,000

$500.00

Over $60,000

$0.00