Which U.S. law created the modern federal Child Tax Credit in 1997?

The Taxpayer Relief Act of 1997 created the modern federal Child Tax Credit in the United States.

The 1997 act established a $400-per-child credit for qualifying children, with the amount scheduled to rise to $500. The measure was part of a broader tax package signed by President Bill Clinton and represented a major federal expansion of tax relief for families with children.

The credit has changed substantially since then. Later laws increased its amount, altered eligibility rules, and introduced or expanded refundable components. It is distinct from the Earned Income Tax Credit, which is primarily tied to work and earned income, although a household may qualify for both.