Rep. Payne, Jr. Promotes New Child Tax Credit for Working Families
Media Contact: Patrick Wright -- Patrick.Wright@mail.house.gov
Washington, D.C. — Rep. Donald M. Payne, Jr. encourages family members in New Jersey’s 10th Congressional District to file their taxes before the May 17th deadline to take advantage of the new $300 per child monthly tax credit. The payments will start in July for qualified families. This credit was part of the American Rescue Plan that Rep. Payne, Jr. helped pass earlier this year.
“These Child Tax Credit payments will help American families support their children through the pandemic,” said Rep. Donald M. Payne, Jr. “The money can be used for everything from food to clothing and other expenses to ease the financial burdens on American households. I am proud to have voted for this bill because we must do everything possible to help all Americans during this public health crisis.”
Rep. Payne, Jr. requested eligible families to file a 2020 tax return to receive payments faster, even if they do not have earnings to report or do not file taxes normally. The Internal Revenue Service (IRS) uses the information from tax returns to calculate and distribute the advance monthly payments to families. Rep. Payne, Jr. included answers to common questions about the payments below.
How Much are the Child Tax Credit Advance Monthly Payments?
The American Rescue Plan expanded the Child Tax Credit to up to $3,600 per child for children ages 0 to 5 and $3,000 per child for children ages 6 to 17.
Also, the American Rescue Plan authorized advance monthly payments of the Child Tax Credit through December 2021. Beginning as soon as July and running through December, qualifying families can get up to:
- $300 a month per child for children ages 0 to 5.
- $250 a month per child for children ages 6 to 17.
Families will get their remaining expanded Child Tax Credit when they file their 2021 tax return.
Who Qualifies for the Child Tax Credit Advance Monthly Payments?
- Families will qualify for a full credit if their income is below $75,000 for single filers, $112,000 for people filing as head of household, or $150,000 for people who are married and filing jointly.
- To be eligible, children must:
- Have a Social Security number,
- Live with you for at least half of the year,
- Be under age 18 as of December 31, 2021, and
- Be claimed on your tax return.
- Children are eligible if they are your children, adopted children, stepchildren, half-siblings, foster children, grandchildren, nieces or nephews, or certain other relatives. The adult filing taxes must have a Social Security Number or an Individual Taxpayer Identification Number.
How Can Families Get Help Preparing and Filing their Taxes for Free?
Free tax preparation services are generally available until the tax filing deadline. Families should file their taxes before the May 17th deadline even if they do not have earnings to report or do not normally file, because the IRS needs information from tax returns in order to calculate and issue advance monthly payments.
- Families can file taxes for free online through the IRS Free File program at https://apps.irs.gov/app/freeFile/.
- Families where the parent or caregiver is aged 50 or older can use this AARP tool to find free tax help near them at https://secure.aarp.org/applications/VMISLocator/searchTaxAideLocations.action.