Thanks to the American Rescue Plan, most working families began receiving expanded monthly Child Tax Credit payments of up to $300 per child starting July 15th! These payments, which will continue through the end of the year, will help set our children up for success by putting money in the pockets of hardworking parents to cover necessary expenses like rent, food, and child care. The enhanced credit will benefit more than 129,000 children across the Third Congressional District alone, with an average tax-free benefit of $2,600 per household.
HOW DO I KNOW IF I’M ELIGIBLE?
Families qualify for the full credit if their children are under the age of 18 and income is:
$75,000 or below for single filers,
$112,000 or below for head of household filers, or
$150,000 or below for people who are married and filing jointly.
If you have filed tax returns for 2019/2020 or signed up to receive a stimulus check from the IRS: The first monthly payment should have hit your account or mailbox on July 15th. You do not need to take further action to continue receiving these payments.
If you have not filed tax returns or used the IRS non-filers tool to sign up for stimulus payments: It’s not too late to start receiving your child tax credit benefit! Simply use the IRS non-filer sign up tool here to sign up today.
HOW WILL I RECEIVE PAYMENTS?
Families who choose to get their tax return or stimulus payments from the IRS through direct deposit will receive payments in their bank accounts around the 15th of every month until the end of 2021. Those who don’t use direct deposit will receive their payment by mail around the same time.
WHAT IF I DON’T WANT TO RECEIVE PAYMENTS?
Families who would prefer to skip the monthly payments and only apply the credit to their tax filing next year can do so online. Click the button below to start this process:
WILL THE CHILD TAX CREDIT COUNT AGAINST GOVERNMENT BENEFITS (SNAP/FOOD STAMPS, MEDICAID, CHILD CARE SUBSIDY, ETC.)?
No! Child Tax Credit payments do not impact eligibility for federal benefits, nor do they change how much benefit you receive. The credit is not considered to be income, so these programs do not consider refunds from tax credits to be income.
WHAT IF I SHARE CUSTODY OF MY CHILD(REN)?
The IRS will base the 2021 advanced Child Tax Credit payments on the most recently filed tax return (either 2019 or 2020), so any advanced payments will automatically go to the parent who most recently claimed the child(ren). The IRS CTC Update Portal enables taxpayers to opt out of advanced payments. Taxpayers who have difficulty using the portal may also call a designated toll free number for assistance at 1-800-906-4184.
At the moment, it is unclear whether a parent who opts out of advanced payments may redirect payments to the other parent. This page will be updated with relevant information as it becomes available.
WHAT IF I'M AN UNDOCUMENTED IMMIGRANT AND MY CHILDREN ARE AMERICAN CITIZENS?
You are able to receive the Child Tax Credit. If you have not filed taxes for the past three years or signed up to receive a stimulus check, you should use the non-filer portal here. You will need a valid Individual Tax Identification Number (ITIN), which you can apply for here. Once you receive your ITIN, you can sign up for Child Tax Credit advanced payments.
WHAT IF I HAD A BABY/ADOPTED IN 2021, AFTER FILING FOR TAXES IN 2020?
You are able to receive the Child Tax Credit, even if your child was born or adopted after July 15th. The IRS CTC Update Portal will allow you to make changes to your dependent(s) information late this summer. Keep an eye on the portal to update this information!
The strengthened Child Tax Credit is a lifeline for so many in our community. If you’re eligible, be sure to take advantage of this expanded benefit provided by the American Rescue Plan.
HOW CAN I GET EXTRA HELP?
If you need assistance, don’t hesitate to contact my team here or by phone at 978-459-0101. You can also follow my office on Facebook, Twitter, and Instagram.