AMERICAN families have started to receive monthly stimulus checks worth up to $300 as part of the child tax credit rollout
An estimated 39million households are eligible to claim the extra cash and payments started arriving on July 15.
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Families with kids under the age of six will receive $300 and can use the money to pay off bills or treat the children.
Parents with children aged between six and 17 will receive $250.
The Biden administration has expanded the Child Tax Credit for 2021 to $3,000 for children aged between six and 17 years old.
Americans will receive six payments this year with the rest coming as a lump sum during next year’s tax season.
Families can choose to opt-out of the payments and receive the full tax credit next year if they wish.
The IRS has launched an online portal called the Child Tax Credit Update to allow families to stop the monthly payments.
Through this app, families can also update their information to ensure that they are receiving the full amount they are owed.
They can add on new dependents or changes of income that hit them in the past year.
The tool will also allow for families to input their updated banking information to ensure they immediately receive the direct deposits.
If the IRS does not have banking information available, it will issue a paper check which will take a few days longer to reach families.
The White House sent a letter to families it has on file as being eligible for the expanded child tax credit.
Ahead of the rollout, the IRS also launched an app targeted at those who don’t normally file tax returns.
You don’t have to file a tax return if you earn less than $12,200 a year as a single taxpayer or $24,400 as a married couple filing jointly.
Those eligible can use the app to provide the IRS with their name, address, and social security number.
Americans are also encouraged to add their bank details so the agency can deposit the child tax credit payment on time.
Households can also check their eligibility using the tax credit calculator on CNET.
The child tax credit extension is not permanent as it is due to end next year.
But last week, Joe Biden reiterated his desire to see child tax credit payments extended until 2025.
He also called for the education system to be expanded from 12 years to 14 years, in addition to making childcare free.
The measures come as the “human” component to his American Infrastructure package that he’s seeking to pass through Congress.
The president said: “We should have a minimum of 14 years of education without spending a cent.
“Does anybody think in the 21st century, with changes taking place in technology and across the board, that 12 years of education is enough to be able to live enough middle-class life? I don’t think so.”