Questions: All of the following statements regarding the 2023 Additional Child Tax Credit are correct, EXCEPT? The Additional Child Tax Credit is a refundable credit. The Additional Child Tax Credit is a nonrefundable credit. Taxpayers must have an earned income of at least 2,500 to qualify. The maximum Additional Child Tax Credit is 1,600.

The answer is: The Additional Child Tax Credit is a nonrefundable credit.

This statement is correct. The Additional Child Tax Credit (ACTC) is indeed a refundable credit, meaning that it can result in a refund even if the taxpayer has no tax liability.

This statement is incorrect. The ACTC is not a nonrefundable credit; it is a refundable credit. Nonrefundable credits can only reduce tax liability to zero, but they do not result in a refund if the credit exceeds the tax owed.

This statement is correct. To qualify for the ACTC, taxpayers must have earned income of at least $2,500.

This statement is correct. The maximum amount for the ACTC can be up to $1,600 per qualifying child, depending on the taxpayer's income and other factors.