CASTEN URGES ILLINOIS FAMILIES TO FILE TAXES BEFORE MAY 17 TO GET THEIR ADVANCE CHILD TAX CREDIT PAYMENTS AS SOON AS POSSIBLE
As part of the American Rescue Plan Casten helped pass, families will begin receiving monthly payments of up to $300 per child beginning as soon as July. Casten says the best way to ensure eligible families receive their payments is to file a 2020 tax return – even if they don't have earnings to report or don't normally file – because the Internal Revenue Service (IRS) needs information from tax returns in order to calculate and issue advance monthly payments.
- The child tax credit will benefit over 2.5 million Illinois children, lifting 153,000 children out of poverty
- 120,500 children in IL-06 could benefit from the advance monthly payments.
- 37,100 households in IL-06 could get an average total benefit of $2,600
- Families can get free help preparing and filing their taxes through free resources offered by ?The Volunteer Income Tax Assistance (VITA), Tax Counseling for the Elderly (TCE), and AARP Tax-Aide programs, including VITA College of DuPage location in Casten's district
"Families should never be forced to choose between taking care of their children or paying the bills," said Casten. "The Child Tax Credit puts money into the pockets of hardworking parents sooner, to pay for childcare or put gas in the car so they can get to work and build better lives for their families. The best way to make sure you and your family receive monthly payments as soon as possible is to file a 2020 tax return before May 17th."
Casten recently gave a floor speech discussing the impact the Child Tax Credit will have on young families and the importance of ensuring all parents have the information and resources necessary to receive it.
How Much are the Child Tax Credit Advance Monthly Payments?
The American Rescue Plan expanded the Child Tax Credit to up to $3,600 per child for children ages 0 to 5 and $3,000 per child for children ages 6 to 17.
The American Rescue Plan also authorized advance monthly payments of the Child Tax Credit through December 2021. Beginning as soon as July and running through December, qualifying families can get up to:
· $300 a month per child for children ages 0 to 5.
· $250 a month per child for children ages 6 to 17.
Families will get their remaining expanded Child Tax Credit when they file their 2021 tax return.
Who Qualifies for the Child Tax Credit Advance Monthly Payments?
· Families will qualify for a full credit if their income is below $75,000 for single filers, $112,000 for people filing as head of household, or $150,000 for people who are married and filing jointly.
· To be eligible, children must:
o Have a Social Security number,
o Live with you for at least half of the year,
o Be under age 18 as of December 31, 2021, and
o Be claimed on your tax return.
· Children are eligible if they are your children, adopted children, stepchildren, half-siblings, foster children, grandchildren, nieces or nephews, or certain other relatives. The adult filing taxes must have a Social Security Number or an Individual Taxpayer Identification Number.
How Can Families Get Help Preparing and Filing their Taxes for Free?
Free tax preparation services are generally available until the tax filing deadline. Families should file their taxes before the May 17th deadline even if they do not have earnings to report or do not normally file, because the IRS needs information from tax returns in order to calculate and issue advance monthly payments.
· Families can get free help preparing and filing their taxes through VITA College of DuPage location.
· Families can file taxes for free online through the IRS Free File program at https://apps.irs.gov/app/freeFile/.
· Families where the parent or caregiver is aged 50 or older can use this AARP tool to find free tax help near them at https://secure.aarp.org/applications/VMISLocator/searchTaxAideLocations.action.