Child Tax Credit Updates: What’s Different from the December Payments?

ohn on the 15th day of each month in the second half of 2021, families across the United States received their advance Child tax credit Payments. To help Americans recover from the fallout from the coronavirus pandemic, the federal government has decided to make this money available up front and payments have been made monthly since July.

Families owe $ 3,600 in total for each child aged five and under and up to $ 3,000 in total for each child aged six to 17. Half of this amount will be paid in April 2022 as usual, while the other half has been paid in six monthly installments of $ 300 or $ 250.

What changes in December with the child tax credit payments?

On December 15, remittances of $ 300 or $ 250 will be sent normally by the Internal Revenue Service (IRS). The difference this month is that it will be the last of those advance payments. There will then be no further payment until April 2022.

You can see the full 2021 Child Tax Credit advance payment schedule below:

  • July 15 (PAID): Up to $ 300 or $ 250, depending on the child’s age
  • August 15 (PAID): Up to $ 300 or $ 250, depending on the child’s age
  • September 15 (PAID): Up to $ 300 or $ 250, depending on the child’s age
  • October 15 (PAID): Up to $ 300 or $ 250, depending on the child’s age
  • November 15 (PAID): Up to $ 300 or $ 250, depending on the child’s age
  • December 15: up to $ 300 or $ 250, depending on the child’s age
  • April 2022: up to $ 1,800 or $ 1,500, depending on the child’s age

What happens to families who have not received advance payments of the child tax credit?

At the start of this system, it was possible to avoid these early checks. Any family that has withdrawn will therefore receive the full $ 3,000 or $ 3,600 per child in April 2022.

Those who collected those advance checks, however, will have already received half the amount by the end of December. So they only have another half to collect.

Will there be child tax credit advances in 2022?

A debate is currently taking place in Washington DC, with politicians deciding whether this initiative should be extended until 2022. There is general support for keeping the optional advance payments, as it is simply a matter of timing. but there is a gap. on what the amounts should be.

In any case, we should not wait for a decision at the beginning of 2022 on the future of the system of advances on the Children’s Tax Credit.