One of the most well-liked aspects of the American Rescue Plan was the stimulus funding it offered. The majority of Americans received funds worth a total of $1,400 when President Joe Biden agreed to sign the legislation into law in March. Throughout the first two years of the Child Tax Credit program, the federal government divvied up the first half of the expanded credit to families in the portion of monthly payments.
The Expanded Federal Child Tax Credit
In the second quarter last year, most Americans received money worth $250 or $300 per child, for a total of $1,500 or $1,800. Tax returns for those families are due in 2022, and they will be eligible for the second half of the credit.
According to WBFF, households who are eligible for the expanded federal Child Tax Credit but did not obtain the payments would be eligible to claim the full sum when they file their taxes in 2022. It costs $3,600 for families with children younger than six. Those who have children between the ages of 6 and 17 will receive $3,000.
IRS Letter 6419 will be sent to all eligible persons in January 2022, will include information about the total sum of advance Child Tax Credit money received in 2021 and the amount of eligible children used to determine the advance payments. The IRS recommends that payers keep a record of any correspondence they receive from the agency regarding the advance payment of the Child Tax Credit, as per The Sun.
Sen. Manchin’s Opposition
The IRS usually processes plus-up payments in under two weeks of taking a tax return. The IRS provides an online payment tracking system for those that are qualified but have not yet obtained their stimulus payment. According to Forbes, a paper check sent to the registered mailing address can also be received from the Internal Revenue Service (IRS) for additional payments.
However, with West Virginia Democrat Senator Joe Manchin stating his objections to President Joe Biden’s Build Back Better Act, effectively scuttling the likelihood of American parents getting hundreds of dollars in monthly direct payments this year.
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