In accordance with the American Rescue Plan, the credit increased to $3,600 per child for children under the age of 6 and to $3,000 for children ages 6 -17. This means eligible families will receive a monthly payment of $300 per child under 6 years of age and $250 per child 6 to 17 years of age beginning July 15th.
Most taxpayers will not be required to take any action to receive their payments. Payments will be made through direct deposit, paper check, or debit cards similar to other stimulus payments. The IRS and the Treasury Department will continue their outreach efforts to make families aware of their eligibility.
Approximately 39 million households covering 88% of the children in the United States will benefit from the Child Tax Credit payments helping families in need as they continue to recover from the COVID-19 pandemic.