Child Tax Credit
October 26, 2021
The American Rescue Plan Act enhanced the federal Child Tax Credit (CTC) so that this year, most families with children are eligible for up to $3,600 per child under 6 and $3,000 per child 6-17. Families can receive half of this amount in 2021 as advance monthly payments, and the other half as a part of their tax refund in 2022. Families who filed taxes in recent years automatically received the first monthly payments already, but those who did not file taxes in 2020 or 2019 or use the IRS non-filer tool to claim stimulus payments in 2020 must take action by November 15 to receive half of these funds this year – up to $1,800 per child.
The BPJCC encourages anyone who have not yet received advance payments to sign up for the CTC or file their 2020 taxes. Eligibility is very broad and includes those who did not earn any income and do not normally file taxes. The CTC will not affect other benefits. Adults do not need a Social Security Number to qualify, as long as the children they are claiming have them.
Families who didn’t previously claim their Economic Impact Payments (stimulus payments) would also receive those. So, for example, a couple with one child under 6 who hadn’t received any previous payments would receive $1,800 in 2021 in advance CTC payments and an additional $8,900 from the stimulus payments. When they file their taxes in 2022, they’ll receive the remaining $1,800 in CTC as a part of their tax refund.
If your clients need assistance, there is free help available! New York City’s Department of Consumer and Worker Protection has NYC Free Tax Prep sites to help people sign up for the CTC or file their taxes.
Visit NYC Free Tax Prep Map to find a site near you offering in-person or virtual appointments.
Questions? Visit nyc.gov/ChildTaxCredit or call 311.