Riverside, California 2021-09-24 20:31:12 –
The IRS said the delay in paying child tax credits in September mainly affected those who recently changed information with the agency.
NS IRS said on friday That “technical problems” caused some qualified Americans Get upfront payment for child tax credit on September 15th On time, but payment should arrive soon.
The agency said in a statement that it estimates that less than 2% of eligible recipients did not receive payments as scheduled last week. This is primarily stated to be those who have recently updated their bank account information or address on the online child tax credit update portal.
The IRS also said the issue affected payments to taxpayers who married and filed jointly, but only one spouse changed their bank account or address.
“These individuals will receive payment within a few days for those who receive direct deposits or checks by mail on Friday,” the IRS said.
Why is the child tax credit reduced this month?
One of the questions several people asked on Google Friday is why they paid less for their child tax credits in September. The IRS is clearly aware and addressed it in the same statement.
“There are multiple reasons why people may be seeing unexpected amounts,” the IRS said. “If only one spouse changes his address or bank account, half of the other spouse may go to his old address or bank account. In these cases, the full amount will continue to be distributed.”
Authorities said the amount received could change if the tax return was recently processed. Credits will be sent to qualified Americans. Submit a 2019 or 2020 tax return Or someone who does not need to submit a return but used it online Non-filer tool..
“We encourage people to check IRSCTC update portal About the latest payment information. “
NS Deadline to opt out online from October 15th Payment is at 11:59 pm Eastern Standard Time on October 4th.
What is a child tax credit?
Credit is $ 3,600 per year for children under 6 years old Children 6 to 17 years old.. Eligible families who do not opt out receive $ 300 per month for children under the age of 6 and $ 250 for each child older.
Benefits will begin to be phased out with incomes of $ 75,000 for individuals, $ 112,500 for heads of household, and $ 150,000 for couples. Families with incomes of up to $ 200,000 for individuals and up to $ 400,000 for married couples can continue to receive the previous $ 2,000 credits.
In the past, eligible families earned credit after filing a tax as credit for one-time or unpaid taxes.But now 6-month payment will proceed monthly until the end of the year.. The beneficiary will receive the second half when filing the tax.
The extended child tax credit passed as part of the US Relief Program COVID Relief Bill in March has been proposed by President Joe Biden to extend until 2025, hoping to make it permanent, but a year later. It will expire.
The Associated Press contributed to this report.
Why is my child tax credit lower this month? Source link Why is my child tax credit lower this month?