With today being Tax day, I thought it would be a good day to share some of the news about Child Tax Credit payments for parents.
The IRS will automatically send out child tax credit payments to those who qualify starting July 15.
Here is how it will work via Forbes
The monthly payments will start on July 15 and will continue until the end of the year. Since the monthly payment period will provide only half the year’s credit, taxpayers can claim the remaining amount on their 2021 tax return when they file in 2022.
Earlier this year, the IRS announced itwould roll out a portalfor taxpayers to opt in for the payments. However, theIRS recently announcedthe monthly child tax credit payments will be sent automatically and most taxpayers will not need to take any action. The monthly child tax credit payments will be paid through direct deposit, paper check or debit cards. The IRS hopes to send most payments through direct deposit to ensure payments are received timely, fast and secure.
Individuals who qualify will receive a monthly payment of $300 for each child under the age of 6, and $250 per month for each child aged 6 through 17. A family that qualifies for the full credit with two children ages 5 and 3 would receive a monthly payment of $600.
To qualify, your child must also meet a the following qualifications:
They must have a valid Social Security number
They must live with you for at least half the year, and be related to you
You must provide more than half of your child’s financial support, which includes lodging, food, utilities, repairs, clothing, education and other costs.