As part of President Joe Biden’s American Rescue Plan, $300 monthly payments are on the way for those who filed their taxes and claimed the Child Tax Credit on your 2019 or 2020 tax return. This initiative is part of a larger coronavirus relief package issued this summer. Starting July 15, families with a child under the age of six could be eligible to receive $300 monthly payments. Those with a child between the ages of 6 and 18 will be eligible to receive $250 a month until December. There are income restrictions, if your income is over $75,000 as a single filer, $112,500 as head of household, or $150,000 if married and filing a joint return, the monthly payment amount will be reduced. The monthly payments are in addition to the increased Child Tax Credit distribution from your 2019 or 2020 taxes. Individuals claiming the tax credit will get up to $3,000 total for all qualifying children between the ages of 6 and 17. Households with children 6 years old and younger will receive a total of $3,600. The tax credit previously capped at $2,000. The money will be distributed through paper check, direct deposit, or debit card.
Check your eligibility here.