Child tax credit increases, but 2.7 million migrant children are excluded in 2026

• The child tax credit will increase to $2,200 per child starting in the 2025 fiscal year.
• However, new Social Security number requirements will exclude 2.7 million migrant children.
• Low-income Latino families will be the most affected by these changes.

Starting in 2026, families filing taxes will receive a higher child tax credit: it will increase from $2,000 to $2,200.

The credit will be adjusted for inflation each year, which sounds like good news… but there’s a catch.

Now, both the child and at least one parent or guardian must have a valid Social Security number to qualify.

Key Changes to the Child Tax Credit

The new tax package was approved by President Donald Trump with Republican support.

• Although the child tax credit amount is increasing, eligibility is becoming more restrictive.

Previously, only the child needed to have a Social Security number. Now, at least one parent or guardian must also have a valid Social Security number.

This change excludes millions of migrant households that were previously eligible.

Direct impact on Latino families

39% of Latino children will not qualify for the full child tax credit, according to Columbia University.

• Before the change, that figure was 34%.

Additionally, low-income families will need to earn more to receive the full amount.

• A household with two children must earn at least $41,500 if filing jointly.

How the new tax affects families

Many Hispanic families with U.S.-born children and undocumented parents will no longer be able to claim the child tax credit.

This applies even if the children were born in the U.S.

Those earning less than $2,500 a year will also lose access, representing 28% of households.

Southern states have the highest exclusion rates: New Mexico and Louisiana (38.2%).

Opinions on the Change to the Child Tax Credit

“Families of all sizes will need higher income levels to access the full credit,” explained Christopher Yera from the Center on Poverty and Social Policy, according to a Yahoo Finance report.

“They took it away from millions of children,” said Meredith Dodson from the Coalition for Human Needs.

What to Expect for the Upcoming Tax Returns

The renewed child tax credit will take effect starting with the 2025 tax year, with real impact in 2026.

Although the amount increases, most low-income families will continue to receive only a fraction of the benefit.

Pro-immigrant organizations and Democrats are already pushing for changes, but for now, the new system is final.

Conclusion: More exclusion despite the increase

• The new child tax credit promises more money… but for fewer families.
• Millions of Latino children will be left out due to the Social Security number requirement.
• A measure that, instead of helping, punishes those who need it most.