The Biden administration, the Treasury Department, and the non-profit Code for America are promoting an online portal to help families claim CTC benefits without having to file a tax return in order to ensure that more low-income families get a chance to receive enhanced Child Tax Credit (CTC) payments in 2021.
The free tool was launched in the autumn of 2021, and over 115,000 households used it to claim $440 million in tax advantages. However, it was deactivated for this year’s tax season to encourage taxpayers to file complete forms, including any benefits owing to them.
The site may be found at ChildTaxCredit.gov or GetCTC.gov, which are both mobile and desktop friendly. The site includes an English and Spanish chat link for queries, and submitting information should take around 10 to 15 minutes.
The Child Tax Credit (CTC) was increased for one year when President Joe Biden signed the American Rescue Plan Act (ARP) in 2021, making it the greatest U.S. kid tax credit ever and giving most working families $3,000 per child under 18 years of age and $3,600 for child six and younger.
The Kid Tax Credit benefit was increased for one year only, and unless President Biden’s Build Back Better Framework is adopted this year, the CTC will revert to its original maximum value of $2,000 per qualified child.
Returning to pre-pandemic payments would undoubtedly have a severe impact on families who are already struggling to meet their children’s fundamental necessities.
Minimum earnings criteria for the Child Tax Credit were abolished for the 2021 tax year, making the credit available to a larger number of people.
The ARP also made the credit entirely refundable and gave households the option of paying half of the credit over six months. Those who qualify can utilize the site to submit their information in order to obtain the remainder of their CTC.
For people who are qualified but have yet to receive CTC payments, organizations like Code for America and government agencies have launched an outreach campaign to better convey eligibility and registration problems.
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Many families were unaware that they were qualified for the credit or were hesitant to register via government portals or digital platforms.
Between July 15 and December 31, 2021, 39 million households with 65 million children – or 88 percent of American children – received automatic monthly payments of $250 to $300.
According to Columbia University’s Center on Poverty and Social Policy, 3.7 million children were lifted out of poverty when the final CTC payments were delivered in 2021, and child poverty decreased by approximately 30%.