Some Americans will be receiving the final stimulus check of the American Rescue Plan called the Advance Child Tax Credit that will be paid out from December 15.
The Advance Child Tax Credit is a program where the child tax credit that is usually $2,000 per child goes up to $3,000 for children over six years and $3,600 for children under the age of six.
On July 15, authorities began paying part of the money to families in batches before the 2021 tax return was filed. Families who have their information with the IRS either through recent tax filing or through the non-filer’s form will receive the money as direct deposit while checks will be sent to others via the address on their tax forms. The remaining half will be paid when the 2021 tax returns are filed.
Those who did not get the advance payment can get the lump sum when they file a 2021 federal income tax return next year and claim the Child Tax Credit.
Families who did not get the money this year because they were ineligible either because their income was high, but lost the income, changed, or lost their jobs later in the year, can claim the Child Tax Credit when they file their 2021 tax returns.
Read More: Before 2022, You can Still Get $1,800 Per Kid Under the Child Tax Credit
People who received the wrong amount of money in previous months either because their child aged out — turning six this year, was born last year, and yet to be claimed or passed the stipulated age this year — can claim the missing amount on their taxes next year.
However, an income in 2021 that makes one above the eligibility limit for the credit would result in one returning the amount one collected.
The IRS will be sending letter 6419 on January 2022, stating the amount of Advance Child Tax Credit payments you received in 2022, and letter 6475 that will give details of the amount of Economic Income Payments you received.