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replied 8 years ago.
Each dependent child under age 19 (older for full time students) qualifies the taxpayer for a $3300 tax deduction. So having two dependents qualifies you for a $6600 deduction from your gross income.
This money reduces your gross income before calculating your taxes. So the amount of taxes impacted depends on your tax bracket. If you are in the 10% tax bracket, your $3300 deduction reduces your taxes by $300. If you are in the 25% bracket, it can reduce your taxes by $825.
In addition to the dependent deduction, children under the age of 17 qualify for a child tax
credit. Since one of your children is 17, he/she no longer qualifies for the credit. But the younger one would qualify for the $1000 credit. This reduces your tax burden by a straight $1000.
If you have a very high income, in the six figures, these deductions and credit will phase out and you may not get the full amount.
If you have a low amount of earned income, below $36,000, you probably also qualify for an earned income credit which is significantly higher if you have two or more children.
However, the actual amount you get back because of these benefits depends greatly on your total income, any other deductions you can take, and how much was withheld during the year.