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Form 1040-X
Form 1040-X

Form 1040-XAmended U.S. Individual Income Tax Return

14 — Refundable Credits Updated for tax year 2025

Does this apply to you?

  • You are claiming or correcting the additional child tax credit
  • You are adding the refundable portion of the American Opportunity Credit
  • You need to reconcile premium tax credits from the Health Insurance Marketplace
  • You did not claim a refundable credit you were entitled to on your original return
  • Your amendment changes income that affects refundable credit amounts

Easy to overlook

The additional child tax credit changes when income changes The additional child tax credit (the refundable portion of the child tax credit) depends on earned income. If your amendment changes earned income, recalculate Schedule 8812. A filer who adds self-employment income that was previously unreported increases both their tax liability and their additional child tax credit — the net effect depends on the amounts. 1 IRS Form 1040-X Instructions — Line 14

Premium tax credit reconciliation affects refundable credits If you received advance premium tax credits through the Health Insurance Marketplace and your amendment changes household income, the premium tax credit on Form 8962 changes. You owe back excess advance credits or receive additional credits, depending on the direction of the income change. 2 General filing pattern — additional child tax credit on amended returns

Watch out for this

Leaving refundable credits unchanged when the underlying income changed. Refundable credits depend on earned income, AGI, or household income. If any of these change on the amendment, recalculate every refundable credit and update Column C accordingly. An inconsistent refundable credit amount triggers IRS review.

Footnotes

  1. IRS Form 1040-X Instructions, Line 14. https://www.irs.gov/instructions/i1040x

  2. IRS Form 8962 Instructions, Premium Tax Credit. https://www.irs.gov/instructions/i8962

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