How Do You Plan To Spend the Child Tax Credit? Take Our Poll
The first set of Child Tax Credit payments are being dispersed on July 15. The benefit is a tax credit offered through the American Families Plan stimulus relief bill that was signed into law in March. All eligible families will begin receiving $300 monthly payments from July through December, amounting to half of the total $3,600 benefit. The other $1,800 can be claimed at tax time next year.
Weigh In: How Do Plan To Use the Child Tax Credit Starting In July? Take Our Poll
The income threshold for the full benefit is $75,000, but higher incomes can still receive partial amounts of the benefit. The full amount will be paid out for each child under the age of 6. Those 6 years of age and above will begin to be phased out for the full benefit, but can still receive partial amounts of payments.
The Urban Institute estimates that the advance portion of the credit alone will reduce the share of children in poverty from 13.7% to 11.3%. If you do not normally file taxes as a non-filer or because of low income, you are still eligible for the full benefit. In addition, the child tax credit is fully refundable, meaning that you do not need to make income or pay taxes to receive it.
We want to hear from you: If you receive the child tax credit, how do you plan to spend it? Click here to take our anonymous poll.
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Last updated: July 15, 2021
This article originally appeared on GOBankingRates.com: How Do You Plan To Spend the Child Tax Credit? Take Our Poll
