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Should I expect the tax effect of a fourth child to be similar to that of the third, or is there a point of diminishing financial benefit?

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    I sure hope you are not basing your family planning on tax advantages. – George Marian Sep 6 '10 at 3:35
  • @George Marian - Not at all, just like to be prepared. – Leigh Riffel Sep 6 '10 at 12:08
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    My federal refund increased about the same amount between my third and fourth child as it did between my second and third. There was little change in the other factors effecting my taxes. – Leigh Riffel Feb 23 '11 at 14:39
  • @George Marian: I'm sure financial considerations play a part in the size of many people's families. The tax advantages are a part of that. – Ganesh Sittampalam May 18 '11 at 20:14
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  • You can claim an extra dependent.
  • You may qualify for the Earned Income Credit, Child Care Credit, and Child Tax Credit
  • Gifts may be given tax-free under certain circumstances

More information here.

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    From reading the document you referenced it looks like a fourth child will have the same financial benefits as the third, except with regard to the EIC. To qualify for the Earned Income Credit there is an income maximum that increases with each child only until the third child. – Leigh Riffel Sep 7 '10 at 3:01

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