LITTLE ROCK, Ark.- Parents keep an eye on your bank account. Come July, you may see a direct deposit for the child tax credit.
If eligible, your family will be getting payments monthly from the American Rescue Plan.
President Joe Biden said, “This tax cut sends a clear and powerful message to American workers, working families with children: Help is here.”
the Treasury Department said approximately 88% of children in the United States are expected to receive monthly payments automatically.
“That is a large impact certainly across the United States but certainly here in Arkansas,” said Scott Hardin, spokesman for the Department of Finance and Administration. “Assuming you make under 150.000 dollars filing jointly or 75,000 individually, beginning July 15th you’re going to start receiving the direct payment just like the stimulus payment.”
Scott Hardin, spokesman for the Department of Finance and Administration said eligible families can get up to $300 per month for each child under five and $250 per month for each child 6 to 17.
The payments will be made on the 15th day of each month unless that day falls on a weekend or holiday.
“That will continue for the next six months through the end of December,” said Hardin.
According to the US Treasury Department, families should get the check the same way you got your stimulus check. Via direct deposit, paper check or debit card.
However, that’s not all. Families will get another lump sum when filing taxes next year.
“As you file your taxes, you’ll claim the remainder so six months of really advanced payments on the child tax credit then they finish it up on the 2022 filing date,” said Hardin.
The American Rescue Plan aiming to lift more than five-million children out of poverty this year.
President Bidens plan could extend through 2025 if congress re-authorizes payments at the end of the year.