Deadline for $7,200 in Child Tax Credit for Families is 8 DAYS away
PARENTS who did not receive the Child Tax Credit advance payments in 2021 could receive up to $3,600 per child under age six when filing taxes this year.
The program would mean a family with two children could pocket $7,200, but recipients must meet certain criteria to get the maximum amount.
The deadline to file your 2021 tax return is Monday, April 18, 2022.
What are the federal child tax credits?
Originally introduced in 1997, Child Tax Credits are designed to provide financial relief to middle- and low-income households with children.
Generally wanting up to $2,000 per eligible dependant, the credit has been increased to a maximum of $3,600 for the 2021 tax year to help families during the pandemic.
Additionally, parents who claimed the credit on their 2020 taxes received advance payments of up to $300 per child per month from July through December.
Families who opted out of receiving monthly checks will receive the credit as a lump sum on their 2021 tax returns.
For households that have received payments, the remainder of their tax credit will arrive with their refund or it will be used to offset taxes owed.
Anyone who received monthly checks should have received a letter from the IRS detailing the prepayments they received and how they can reconcile that with the total credit they are entitled to.
How to claim
If you’ve never claimed a child tax credit before, the IRS has a handy tool to see if you qualify.
Read our Child Tax Credit live blog for the latest news and updates…
Couples and individuals who applied for a dependent for 2020 and received advance payments will need to reconcile the amount they received with the total amount of credit they are entitled to.
This will result in a refund of some of that money or the claiming of the remaining credit balance.
If you claimed a dependent in 2020 but the child’s other parent claims them for 2021 and you have not declined advance payments, you will need to repay the credit unless you qualify for coverage against reimbursement.
And if your child’s other parent claimed the credit in 2020 but you normally alternate years, you can get the full tax credit you’re entitled to on your tax return even if the other parent received advance payments.
Non-filers in 2019 and 2020 who missed the deadlines to claim the payments will have to file a tax return next year to get the money.
We pay for your stories!
Do you have a story for The US Sun team?