The U.S. Department of Agriculture estimates that it costs nearly $15,000.00 a year for a middle-class family to raise a child born in 2002 to age 17 (without adjustment for inflation). In recognition of this cots, you can claim a tax credit each year until your child reaches the ago of 17. The credit is currently up to $1,000.00 per child. This credit is in addition to the dependency exemption for the child.

You may claim a tax credit of up to $1,000.00 in 2004 for each child under the age of 17. If the credit you are entitled to claim is more than your tax liability, you may be entitled to a refund under certain conditions.

Generally, the credit is refundable to the extent of 10 percent of earned income over $10,750.00 in 2004.

Conditions:

To claim the credit, you must meet two conditions.

1. You must have a qualifying child. 2. Your income must be below a set amount.

QUALIFYING CHILD.
You can claim the credit only for a