Your children may be worth more than you realize.

Depending on your income - and if you have at least one qualifying child - you may be able to take a Child Tax Credit of up to $500 for each qualifying child on your 1999 federal income tax return. This means you can reduce your tax by up to $500 for each child. Better yet, this credit is in addition to the Child and Dependent Care Credit and the Earned Income Tax Credit.

What constitutes a "qualifying child"? Quite simply, a child who is claimed as your dependent, was under the age of 17 at the end of 1999, is a United States citizen or resident alien, and is your son, daughter, adopted child, grandchild, stepchild or foster child.

The more children you have, the better the tax credit may work for you. If you have one or two children, you can use the credit to reduce the tax you owe to zero but will not receive any remainder as a refund. If you have three or more children, however, you may qualify for the additional Child Tax Credit, which is refundable.

As with all good things, there are certain restrictions in that the amount of the child tax credit you claim depends on your income. While the value of the credit is $500 per qualifying child, the total credit is reduced by $50 for each $1,000 (or part thereof) that your adjusted gross income exceeds $110,000 (for joint filers), $75,000 (for single filers) and $55,000 (for married couples filing separately).

But any way you look at it, the Child Tax Credit helps put money back into your wallet, where you need it the most. Like for diapers, toys, soccer camp . . .

For more information on the Child Tax Credit, see the instructions for Form 1040 or Form 1040A. Or download Publication 972, Child Tax Credit. You may also obtain a free copy of the publication by calling the IRS toll-free at 1-800-829-3676.

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