The IRS is about to start sending out millions of stimulus checks for families with children under the expanded Child Tax Credit. The monthly stimulus payments of a maximum of $300 for each child will begin from 15th July and last till the year’s end. However, because of the size of the program, your stimulus checks might face delays as the IRS is not prepared for monthly payments.
Difficulty In Ensuring The CTC Stimulus Checks Gets To Your Account
For parents with children who are younger than six, the CTC stimulus check will be worth $3600 for each child. Half can be chosen as monthly payments over six months and the rest as a tax credit in 2021. The amount becomes $3000 per child who is between 6 and 17. For older dependents, you will get one CTC relief worth $500.
The amount will be determined by the AGI of the parents that were filed with the 2020 taxes. The amount decreased by $50 per $1000 beyond $75000 for individuals and $150000 for joint filers. The CTC stimulus checks are completely refundable, so any outstanding taxes will not be a factor.
Now, Child tax credit stimulus checks are supposed to reach your accounts automatically on the 15th of every month after July. If there is a holiday or weekend on the 15th, then the money will reach your account on the nearest working day prior to the 15th.
However, the IRS faces unprecedented challenges in sending out payments every month regularly. First, they need to find everyone who qualifies. After that, the people need to be informed about their eligibility so that they can claim it. If you have not filed your 2019 or 2020 taxes, then the IRS urges you strongly to do so using their online portals. If the official website is being difficult, then there are voluntary assistance sites for taxes.