Thanks to the changes in this year’s federal child tax credit, most families will automatically receive monthly payments starting July 15th without having to take any action. So, if you have filed tax returns for 2019 or 2020, or if you signed up to receive a stimulus check from the IRS, you do not need to sign up.

For every child 6-17 years old, families who meet the income eligibility threshold will get $250 each month, and for every child under 6 years old, families will get $300 each month. Tax filers who receive their refunds from the IRS through direct deposit will get these payments in their bank account on the 15th of every month until the end of 2021. People who do not use direct deposit will receive their payment by mail around the same time. The amount you receive varies according to income.

Families who qualify for the full Child Tax Credit include:

• Married couples with income under $150,000
• Families with a single parent with income under $112,500
• Everyone else with income under $75,000

Families who do not fall in this threshold may qualify for at least $2,000 of Child Tax Credit, which comes out to $166 per child each month. This includes:

• Married couples with income under $400,000
• Families with a single parent with income under $200,000
• Everyone else with income under $200,000

Parents are not required to have an SSN. If a child has a social security number, and his or her parents have an Individual Taxpayer Identification Number (ITIN), the family may be eligible to claim the child tax credit for their children. Read more about this here.

The IRS recently announced two new online tools to help families manage Child Tax Credit payments:

• The Child Tax Credit Eligibility Assistant allows families to answer a series of questions to quickly determine whether they qualify for the advance credit.
• The Child Tax Credit Update Portal allows families to verify their eligibility for the payments and if they choose to, unenroll, or opt out from receiving the monthly payments so they can receive a lump sum when they file their tax return next year.

It’s important to get the message out to families that if you didn’t make enough to be required to file taxes in 2020 or 2019, you can still get benefits.

• This year, households were only required to file taxes if they earned $24,800 as married couple of $18,650 as a head of household, or $12,400 as a single filer.
• If you had a total income in 2020 below those levels, you can sign up to receive monthly Child Tax Credit payments using a simple tool available on the IRS’s web site at https://www.irs.gov/credits-deductions/child-tax-credit-non-filer-sign-up-tool.

It’s also important for parents and other household heads to know that it’s not too late. If you sign up for monthly payments now, your remaining monthly payments will be larger to reflect the payment you missed. Similarly, if you believe you were supposed to file income taxes for 2020 and have not done so already, visit the IRS web site here for more information on how to file.

Families who require assistance filing their taxes or ensuring they get their payments can access free help through an IRS certified VITA/TCE volunteer preparer with NYC Free Tax Prep. Call 311 and say “tax preparation” or visit nyc.gov/taxprep for more information.

CCC has a long-standing history of championing tax policy reforms to combat child poverty and put children and families on an upwardly mobile trajectory to achieve financial stability and economic security. Our support for a universal children’s allowance dates back to the 1960s, when we sponsored the national “Children’s Allowance Conference,” and published several reports documenting the importance of establishing a children’s allowance to combat child poverty.

The expansion of the Child Tax Credit in the American Rescue Plan is a monumental step in our nation’s efforts to combat child poverty, but the new Child Tax Credit enacted in the American Rescue Plan is only for 2021.

We strongly believe that to be successful in our efforts to end child poverty and advance racial equity in America, we must ensure that these enhanced benefits are extended.

CCC continues to work with Senator Schumer, Congressmember Velazquez, Congressmember Torres, or entire New York Delegation and fellow advocates here in New York and nationwide to build on these important reforms and establish a permanent child allowance.

You can join us in continuing to advocate to make the reforms of CTC both more inclusive and permanent by signing on to our take action campaign and telling Congress to make the expanded child tax credit permanent.

The City’s Office of Financial Empowerment at the Department of Consumer and Worker Protection has several efforts underway to support community-based organizations and tax-filers in accessing the new child tax credit and to support our long-term advocacy to make these enhancements permanent. Efforts include:

• Expanding one-on-one services to support New Yorkers in filing and receiving the Child Tax Credit.
• Providing trainings and information to free-tax prep providers on the Child Tax Credit and using the IRS portals to continue their work through the fall/winter to support non-filers in navigating the IRS CTC portal.
• Conducting cross-agency training and information sharing to get the word out through city agencies and their contracted organizations.
• The City’s poverty research team is also estimating the impact of the CTC on local poverty rates

You can join us in getting the word out to fellow New Yorkers to take advantage of the CTC child allowance by sharing the following resources:

• The Office of Financial Empowerment has created a helpful flyer that provides information on where families can seek assistance in filing their taxes and accessing the child tax credit. Download the flyer here.
• The City’s dedicated web page on the Child Tax Credit provides information on the tax credits, including frequently answered questions. Access the page here.
• Dates and information for NYC Free Tax Prep trainings for community based organizations can be found here.