IRS Advance Child Tax Credit Payment Information
UPDATED: August 12, 2021
You have questions or concerns about the Advance Child Tax Credit Payment please read below.
PLEASE READ THE ENTIRE BLOG POST.
Your advance payment is based on the dependents you had listed on your 2020 Tax Return (if you didn't file your 2020 return or your 2020 Tax Return has not yet been processed, it will be based on your 2019 Tax Return). Your monthly payment should be $250 for each child age 6 and older up to age 16 (based on their age by 12/31/2021) and $300 per child age 5 and under (based on their age by 12/31/2021).
You should receive a payment if the tax return they used shows that your adjusted gross income was $75,000 ($150,000 if Married) or less. If you anticipate making more than these amounts for 2021, you should opt out of these payments by logging into your IRS Portal or you may have to pay them back. See the links at the bottom of the emails.
IF YOU DID NOT GET A PAYMENT
Please give your bank a couple of days to post the payment. It's possible they have not processed it to your account. You can always contact your bank to find out more. If you do not have direct deposit set up, you will either receive a check or debit card.
The first thing you should do is log on to your IRS Portal (see link below), and click Manage Payments. Look over the account to see if there are any messages regarding your status of payments, and see if you are enrolled to receive payments. You will also be able to update your banking information (in the coming weeks) as well to ensure the IRS sends it to the correct account.
One of the reasons for not receiving the payment could be because you filed your tax return later in the season. The IRS has an overwhelming number of outstanding 2020 tax returns that have not been processed yet. As of the date of the blog update (listed above), we are finally seeing tax returns that were filed in late February and early March just get processed. This may be the case in your situation. In order to check the status of your return processing, go to www.irs.gov/account. From there, you want to print a 2020 Account Transcript. If you filed a Married Filing Joint Return, be sure to pull the account transcript from the primary taxpayer listed on the tax return (the person who is listed first). When you open the file, if it says Tax Return Not Filed, don't panic. It usually means that the return has not been processed yet. The IRS system is very old, and it only has one message for returns not filed or processed. If your return has not yet been processed, you will need to wait until it is before receiving the Advance Child Tax Credit Payments.
Another reason that you may not be receiving this money is because of a back debt that is listed. Unlike the Economic Impact Payments that were excluded from seizure, these payments can be seized to pay back debts. Back debts include back taxes (both federal and state), back child support, and back student loans (that are not in deferment, forbearance or part of the moratorium on student loans).
IF YOU RECEIVED A CHECK OR DEBIT CARD INSTEAD OF DIRECT DEPOSIT
The IRS portal below allows you to change your direct deposit information on the portal (see link below). Just go to that link, and click Manage Payments. You should see a feature to provide your banking information.
IF YOU DID NOT GET THE PAYMENT YOU EXPECTED
Unfortunately, there is nothing that can be done at this exact moment. HOWEVER, the IRS is working on adding new features to the portal. This includes adding dependents that may not have been calculated in the recent distribution of funds. See the IRS schedule of updates.
TO ACCESS YOUR IRS PORTAL
Click on the Link below, and then click on MANAGE PAYMENTS. Make sure you FIRST login with the person that is listed as the PRIMARY taxpayer (the taxpayer listed first on the tax return for married taxpayers) first. If you have an IRS account, you may use that or create a new account with the IRS. The IRS will validate your identity before proceeding forward. If you can not validate your identity, there is nothing that we can do at this time. You may have to call the IRS at 1-800-829-1040.
WHAT CAN BE DONE IF YOU HAVE A PROBLEM?
Unfortunately, there are not many options. The IRS is extremely overwhelmed. I have spoken to several agents where they have stated that even if you have a case where you absolutely should receive a payment, but have not, there is no guidance as to how the agents can fix the problem at this time. That being said, there are alternative options.
If you are experiencing a financial hardship (unable to pay bills, facing eviction, facing utility disconnect, etc), you can reach out to the Taxpayer Advocate Service. The Taxpayer Advocate Service's phone number is 1-877-777-4778. You can also file a form 911 and get help that way. Be sure to tell them about your financial hardship. To file a form 911 go to https://www.irs.gov/pub/irs-pdf/f911.pdf
The only other alternative that we have seen is that you can reach out to your local congressional representative. When you file a complaint with congress, your representative (and their staff), should be able to reach out to the IRS directly, and even track your status as they continue to assist you. To find out who your local congressional representative is; go to https://www.house.gov/representatives/find-your-representative
REMEMBER THAT THIS IS AN ADVANCE PAYMENT OF A CREDIT AND NOT A STIMULUS CHECK
It is very important to remember that this is an advance payment of the child tax credit on your 2021 tax return. This is not a stimulus payment. That means that if you don't receive this money now, you will receive it on your 2021 tax return. You will not miss out on anything.
Thanks so much, and hopefully we will have more information soon. We appreciate your patience and understanding in this matter.