Think of yield as the return provided by a fixed income investment. The yield of a bond is based on both the purchase price of the bond and the interest (or coupon) payments received each year. Yield is often the term used to describe long-term interest rates.
The child tax credit (CTC) provides a credit of up to $1,000 per child under age 17. If the CTC exceeds taxes owed, families may receive some or all of the credit as a refund, known as the additional child tax credit (ACTC) or refundable CTC. Taxpayers can claim a tax credit of up to $1,000 for each child under age 17.
The child tax credit is worth up to $1,000 for each qualifying child. This credit can be both a nonrefundable and a refundable credit. The refundable portion of the child tax credit is called the additional child tax credit. The qualifying child must be under age 17 at the end of the year.