(ABC4) – The first monthly payment of the expanded Child Tax Credit is coming in July.
The U.S. Treasury Department and the IRS confirmed the official date for the first payment – July 15 – on Monday morning.
Officials say about 88% of children in the U.S. are expected to receive the payments automatically. The tax credit is part of the American Rescue Plan passed earlier this year.
According to the Treasury Department, the child tax credit payments will be made on the 15th day of each month, unless that day is a weekend or holiday.
If you’re eligible, you can expect up to $300 a month for each child under the age of six and up to $250 per month for each child 6-years-old and over.
Payments will be disbursed through direct deposit, paper check, or debit cards, and will stop at the end of the year if Congress does not re-authorize them. Payments are also refundable, meaning families get checks throughout the year, rather than waiting until after filing taxes.
President Joe Biden released a statement Monday morning, saying:
The American Rescue Plan is delivering critical tax relief to middle class and hard-pressed working families with children. With today’s announcement, about 90% of families with children will get this new tax relief automatically, starting in July. While the American Rescue Plan provides for this vital tax relief to hard working families for this year, Congress must pass the American Families Plan to ensure that working families will be able to count on this relief for years to come. For working families with children, this tax cut sends a clear message: help is here.