Child Tax Credit: Children born and adopted in 2021 could receive the credit

Child Tax Credit: Children born and adopted in 2021 could receive the credit

The IRS mentions that 88% of families with children in the United States will automatically obtain the tax credit.

Photo: Jemal Countess / Getty Images

The parents of some 60 million American children are about to receive a second payment this weekend as part of the Child Tax Credit program. Some families who did not receive their first check may see their payments this month, while others will have to take steps to ensure they receive the money.

The Child Tax Credit was authorized by the Biden administration’s American Rescue Plan as a way to help families during the pandemic.

The tax credit expanded to $ 3,600 for each child under the age of 6 and $ 3,000 for children ages 6 to 17. Half of the money is being distributed through six monthly checks, from July to December.

Although most families do not have to do anything special before receiving payments, some may choose not to receive monthly payments because they have debts with the Internal Revenue Service (IRS) or because they prefer to obtain a larger refund in the spring 2022 when they file their taxes.

If you had or adopted a child during 2021, according to the IRS, you have the right to receive tax credit payments.

Because IRS deposits are based on 2019 or 2020 tax returns to determine eligibility, the agency is not yet sending payments to parents for their children born or adopted in 2021 because he does not currently have a record of them.

If this is your case, you can update the information about your family’s dependents through the Child Tax Credit Update Portal, which is in Spanish. Until then you should be attentive to the IRS indications to see if that option has been added, otherwise you could claim the credit in the spring of 2022 when you file your tax return with the IRS.

Related: Child Tax Credit: 53% of Parents “Know Next to Nothing” About the Program

This is how the second payment of the Child Tax Credit goes

According to the IRS calendar This Friday the second payment of the child tax credit will be sent, although the checks usually arrive on the 15th of each month, this time the tax office will send it on August 13.

In case you want to waive the deposits of this tax credit, now it is too late, since the tax agency set the date of August 2 as a limit for taxpayers to cancel the payment in case of being benefited.

However, you can still choose not to receive payments for the remaining months until December and for which you must enter the Child Tax Credit Update Portal before the following dates:

  • August 30th for the September payment.
  • the 4th of October for the October payment.
  • November 1st for the November payment.
  • November 29th for the December payment.

You may be interested in the following news:

Source link