The IRS announced Tuesday that both child tax credit portals, as well as a new eligibility tool, are now operational. The Child Tax Credit Update Portal, for example, will allow you to check if your family qualifies for the tax credit and unenroll from receiving monthly payments this year. According to the agency, a Spanish version will be available soon. The new eligibility tool, dubbed the Child Tax Credit Eligibility Assistant, will quickly determine whether you are eligible for the payments. These tools are part of a non-tax-filers portal, which assists people who are not required to file tax returns in signing up for monthly payments.
The first child tax credit payment is scheduled to arrive on July 15 in just a few weeks. To assist families in preparing for the payments, the IRS sent a letter this month to 36 million households informing them that they may be eligible for one. The letter is part of the IRS and White House outreach, which also includes the childtaxcredit.gov website, which has more information on the money.
The Child Tax Credit Update Portal will be available later this year, according to the IRS, where you will be able to view your payment history and add your bank account information or mailing addresses.
In addition to Monday’s Child Tax Credit Awareness Day, the White House has launched a new website for the child tax credit.
In addition, the IRS has provided a list of free tax days in 12 cities, including Los Angeles and New York. The tax days will help eligible families prepare and file their 2020 tax returns in the coming weeks so that they can receive the advance child tax credit payments.
You can now opt out of receiving monthly child tax credit payments through the Child Tax Credit Update Portal. That is, instead of receiving $300 monthly payments for your 4-year-old, you can wait until 2022 to file your 2021 tax return to receive the $3,600 lump sum. You can opt out at any time, but you must do so at least three days before the first Thursday of the month in question. You must opt out of the July 15 payment by June 28. If you opt out, you won’t be able to opt back in until September.
The child tax credit is also now available. The “Non-filer Sign-up Tool” allows those who are not required to file a tax return to provide the IRS with basic information on their dependents. Low-income families who earn too little to file a 2020 tax return but need to notify the IRS of qualifying children born before 2021 can use this tool.
You’ll be able to use the nonfiler tool to electronically file a simple tax form with the IRS, providing enough information for the agency to determine your family’s eligibility for advance child tax credit payments. If you are required to file a tax return but have not yet done so, you should not use this tool. Also, do not use this tool if you have already filed a 2020 tax return or if you have claimed all of your dependents on a 2019 tax return.
The IRS recommends that you use the portal on a laptop or desktop computer rather than a phone. While the tool is not mobile-friendly, you can use your smartphone’s browser to access it. In addition to requiring an email address, you need to know your filing status and other tax-related information, which as a nonfiler, you may not have readily available. The tool is also not available in Spanish.