Some American families will start receiving their child tax credit payments this summer, according to CBS News.
When will child tax credit payments come?
The IRS Commissioner Charles Rettig said the agency will launch the portal for the credit on July 1, according to The Star Tribune.
- “We will launch by July 1 with the absolute best product we are able to put together,” Rettig told the Senate Finance Committee, according to Yahoo! Finance. “We might need to adjust that … but we are trying to get it as user-friendly as possible.”
- It’s unclear what the IRS would need to adjust to make the payments possible by July 1. Updates will be released if needed.
This is despite some concerns about the IRS launching such a payment plan so soon after the American Rescue Plan started sending out stimulus checks, according to CBS News.
Why you’ll get a child tax credit
The new child tax credit was included in the $1.9 trillion American Rescue Plan that President Joe Biden signed into law in March to help families struggling with the pandemic, according to CNBC.
This payment is coming out because the child tax credit was increased for one year under Biden’s COVID-19 relief package. Children from 6 to 17 years old are eligible for a $3,000 credit. Children under 6 years old are eligible for $3,600.
- According to CNET, the payments could be anywhere from $500 to $3,600 for children, depending on age and custody arrangements.
- “But if your income is higher than the cutoff or your child doesn’t meet all the requirements, you could get a smaller amount or even none at all. The more children you have, the more complicated calculating the payments become,” CNET reports.
How you’ll get the payment
Per CBS News, the payment will be a direct payment. Children under 6 years old will receive $300 per month beginning on the second half of 2021. Those older than 6 years old will get their payment for $250 per month, according to CBS News.