Question 1

How much is the Empire State child credit?

Accepted Answer

For TY2025: $1,000 per child under age 4 and $330 per child ages 4–16; for TY2026 the 4–16 tier rises to $500 (§606(c-1), income-phased). The credit is refundable — it can generate a payment beyond your tax liability. (Sources: Tax Law § 606; IT-201-I (2025 instructions).)

Question 2

Does New York add anything to the federal EITC?

Accepted Answer

Yes — the New York earned income credit equals 30% of your federal EITC (§606(d)), refundable, with New York City adding its own EITC layer for city residents. Claiming the federal credit correctly is the whole battle; the state credit follows it. (Sources: Tax Law § 606; IT-201-I (2025 instructions).)

Question 3

Is there a New York dependent-care credit?

Accepted Answer

There has long been a household/dependent-care credit tied to the federal credit, and Chapter 59 of the Laws of 2026 added a NEW child and dependent care credit under §606(c-2) for taxable years beginning in 2026 — check the era gate before claiming it on a 2025 return. (Sources: Tax Law § 606.)

Question 4

What was the one-time 'inflation refund' I heard about?

Accepted Answer

A TY2025-only refundable credit (§606(qqq)) of roughly $150–$400 depending on income and filing status, paid automatically with 2025 returns. It does not repeat in 2026 — don't expect it as a recurring credit. (Sources: Tax Law § 606; IT-201-I (2025 instructions).)

New York's child credit doubled for young kids — and the amounts change again in 2026.