A fourth round of stimulus checks are very unlikely, but many families will start to get the expanded Child Tax Credit starting next month. To ensure…
Free Book Preview
Money-Smart Solopreneur
This book gives you the essential guide for easy-to-follow tips and strategies to create more financial success.
June
23, 2021
3 min read
This story originally appeared on ValueWalk
A fourth round of stimulus checks are very unlikely, but many families will start to get the expanded Child Tax Credit starting next month. To ensure these coronavirus stimulus checks go out in time, the IRS has now launched a second child tax credit portal.
Q1 2021 hedge fund letters, conferences and more
Coronavirus stimulus checks: second portal live now
The IRS will send the first child tax credit payments out on July 15. To help families prepare for the payment, the agency has already sent a letter to about 36 million households. The letter includes all information that families need to claim or apply for the stimulus check, including information on the two portals.
Last week, the agency opened the first portal to allow non-filers to sign up for the monthly payments. Now on Tuesday, the IRS officially announced that it had opened a second portal as well, along with a new eligibility tool.
This second portal helps families verify their eligibility for the payment. Also, people can use the portal to unenroll or opt-out of the monthly payments. In case you opt-out, you will get the total amount as a credit when you file your tax return next year.
“The Update Portal is a key piece among the three new tools now available on IRS.gov to help families understand, register for and monitor these payments,” Charles Rettig, IRS Commissioner, said.
Along with the second portal, the agency has come up with a Child Tax Credit Eligibility Assistant. This tool assists families in figuring out if they qualify for the monthly payments or not. After you determine your eligibility, you can either file a 2020 income tax return (if you haven’t already), or if you are a non-filer, then sign up using the Non-filer Sign-Up Tool.
Most don’t need to use portals
Similar to the stimulus checks, most families don’t have to do anything to receive the monthly payments. This means that taxpayers who have filed their 2019 or 2020 federal income tax return, or used the non-filer tool last year to register for the stimulus checks, will get the monthly payments automatically, if they are eligible. Others will have to use the Non-Filer sign-up tool to get the Child Tax Credit.
The IRS will come up with more updates on the Child Tax Credit payment in the coming weeks. The future updates would allow users to check the status of their payment, as well as change their bank account information, mailing address, family status and changes in income.
If you are eligible for the payment, you may also get one more letter from the IRS. This letter will be a formal notification from the IRS declaring the amount you will get.
To get all information on the monthly payments, you can visit the IRS website on its Advanced Child Tax Credit Payments In 2021 page.