Instructions for Form 8862 Checklist | 2023 Tax Year
Form 8862 allows taxpayers to reclaim the Earned Income Credit, Child Tax Credit, Additional
Child Tax Credit, Credit for Other Dependents, or American Opportunity Tax Credit after the IRS disallows these credits for reasons other than a math or clerical error. The 2023 version reflects updated dependent verification requirements and post-ARPA stabilization of credit amounts following the temporary 2021 expansion period.
Who Must File Form 8862
You must complete IRS Form 8862 and attach it to your current return if the IRS previously reduced or disallowed your Earned Income Tax Credit, Child Tax Credit, Additional Child Tax
Credit, Credit for Other Dependents, or American Opportunity Credit for any reason other than a math or clerical error. Filing this form becomes necessary when you now meet all eligibility requirements and want to claim these tax credits again for the current tax year.
The IRS requires Form 8862 when you received a notice stating the credits were not allowable, and you are reapplying with additional documentation or corrected dependent information. Form
8862 must be attached to your federal income tax return and cannot be filed separately.
Electronic filing is available through tax software for most situations. You can also mail the form, together with a paper return, to the appropriate IRS address listed in the instructions for your state.
How to Reclaim Disallowed Credits Using Form 8862
(2023 Tax Year)
Step 1: Verify Your Disallowance Notice
Locate the IRS notice that disallowed your Earned Income Credit, Child Tax Credit, Additional
Child Tax Credit, Credit for Other Dependents, or American Opportunity Credit claim. This notice identifies the specific tax year and explains the reason for disallowance.
Disallowances for 2023 claims may reference a previous year, such as 2021 or 2022, when credit amounts were temporarily elevated under ARPA. Confirm whether the notice addresses one credit or multiple credits before you begin the submission process, and do not file Form
8862 without an explicit IRS disallowance notice.
Step 2: Gather Dependent Information
Collect your dependent’s full legal name, date of birth, and Social Security number before completing the form. The IRS requires exact name matching between your Form 1040 and IRS dependent databases for the 2023 tax year.
Attach a copy of the court order or vital records document if your dependent’s name differs from
IRS records due to marriage, adoption, or legal name change. Verify the Social Security number is correct and active with the Social Security Administration before filing to avoid delays or additional correspondence.
- Birth certificates or certified vital records may be used to verify a dependent’s age when
- Adoption papers or court orders can demonstrate the legal placement of foster children
- School enrollment records may be submitted to show that a dependent met the required
- Proof of residency, including utility bills, lease agreements, or mortgage documents,
- Evidence of financial support is necessary when claiming a qualifying relative to show
Step 3: Assemble Supporting Documentation
Supporting documentation strengthens your claim when the IRS disallows your credit due to insufficient evidence of a dependent relationship, residency, or age. Gather and attach the following items as applicable to your situation: the IRS questions eligibility for a claimed credit. when establishing a qualifying dependent relationship. status during the applicable tax year. helps establish that the dependent lived with you for the required period. that you provided more than half of the dependent’s support.
The IRS accepts photocopies, scanned documents, and certified copies of supporting documentation. All documents must be legible and clearly show the required information to support your claim for credits after disallowance.
Step 4: Complete Form 8862 Header Information
Enter your name, address, and filing status from your 2023 federal income tax return in the header section. Print your taxpayer identification numbers in the space provided, and leave the
IRS use section blank.
Both spouses must sign Form 8862 when filing jointly. This signature requirement remains unchanged for the 2023 tax year and applies to all married couples submitting joint returns with this form.
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Step 5: List Each Disputed Dependent
Provide complete information for each dependent that the IRS disallowed. List the full legal name exactly as it appears in IRS records, and enter the date of birth in MM/DD/YYYY format.
Include the Social Security number or ITIN as issued by the Social Security Administration.
Specify the relationship to you, such as child, stepchild, foster child, sibling, or other qualifying relative, and note the tax year for which the credit was disallowed.
Attach additional sheets if you are claiming credits for more than four dependents. Each dependent requires a separate entry, even if disallowed in multiple years, and you must provide all requested information for each qualifying child or dependent.
Understanding Advance Child Tax Credit Payments
Advance Child Tax Credit payments were only available in 2021 from July through December.
The IRS did not offer advance payments in 2022 or 2023, so these monthly advance amounts do not affect most 2023 claims.
If the disallowance pertains to your 2021 federal income tax return, advance payments may impact your claim. Form 8862 does not directly reconcile advance amounts, but the underlying dependent documentation supports your claim when reapplying for credits after disallowance.
Attach documentation showing which dependents qualified for advance payments and reconciliation of those amounts on your 2021 return, if applicable. This requirement applies only when the IRS disallowed your credits partly because advance payments exceeded your eligible amount for the 2021 tax year.
Calculating 2023 Credit Amounts
For a qualifying child under the age of 17, the Child Tax Credit for 2023 is $2,000. The Credit for
Other Dependents equals five hundred dollars per qualifying dependent, and these amounts have returned to pre-ARPA levels after the temporary 2021 expansion period.
Do not claim the 2021 ARPA amounts of $3,600 for children under age 6 or $3,000 for children ages 6-17 when filing for 2023. Multiply the number of qualifying dependents by the applicable credit rate, and enter the total credit amount you are claiming on Form 8862 and your Form
1040.
Verifying Dependent Eligibility Requirements
Your dependent must have lived with you for more than half of the year, excluding temporary absences for school, medical care, or military service. A qualifying child for the Child Tax Credit must be under age 17 at the end of 2023, while the Credit for Other Dependents has no age restriction.
The dependent must be a U.S. citizen, national, or resident alien rather than a nonresident alien. Before the return filing deadline, the dependent's Social Security number must have been issued. Foster children require court documentation that demonstrates legal placement.
Qualifying relatives claimed under the Credit for Other Dependents must meet gross income limits independent of Child Tax Credit rules. Verify all eligibility requirements before submitting
Form 8862 with your federal income tax return to avoid additional delays or correspondence.
Filing Form 8862 with Your Tax Return
You can e-file Form 8862 electronically with your return using tax software for most situations.
Electronic filing through tax software remains available unless you are claiming a credit during a ban period, which refers to a 2-year or 10-year disallowance period.
Paper filing becomes mandatory only during ban periods because the IRS will reject an e-filed return that attempts to claim a credit during this restricted timeframe. Mail the form together with a paper return to the IRS address listed in the instructions for your state when paper filing is required.
Use certified mail with a return receipt requested to confirm delivery when mailing your return.
Include a cover letter with your name, taxpayer identification numbers, the tax year in question,
and a brief statement identifying the enclosed Form 8862 as a response to your specific IRS notice number and date.
Processing time typically ranges from four to six months after the IRS receives your submission.
Monitor your mail for IRS correspondence requesting additional information or documentation, and respond within thirty days if you receive follow-up requests.
If you’re missing tax documents or want to ensure the numbers you enter match IRS records, we can help.
