The Internal Revenue Service plans to send out its third round of Child Tax Credit checks this week.
This month, the IRS will authorize payments on September 15. Parents using direct deposit should receive it nearly instantly, while others should expect a check in the mail within days.
The monthly tax credit checks, funded by the American Rescue Plan, are scheduled to continue through the end of 2021. However, as the recovery from the pandemic drags on, Democratic legislators want to extend those payments through 2025.
The Child Tax Credits continue despite cuts to federal unemployment insurance benefits.
Parents of children 5-years-old or younger collect $3,600 a month. For children six to 17-years-old, the payment dips to $3,000 per child. Legislators split the total payments in two — half as a tax credit for 2021, the other half as six monthly checks. Families who make less than $75,000 qualify for the total amount. The number decreases for higher-earning parents, capping out at $150,000 for couples.
Families can collect the check payments even if they owe the IRS back taxes. The agency anticipates sending out future deposits on the 15th of each month.
Visit the Child Tax Credit Update Portal to ensure your family is registered or modify your banking information. If you’re unsure whether you qualify, visit the Child Tax Credit Eligibility Assistant.