IRS gives final monthly child tax credit payment if Congress doesn’t act

The Treasury Department and the Internal Revenue Service (IRS) paid the final monthly child tax credit payment under President Biden’s coronavirus relief statute on Wednesday, as the administration and congressional Democrats fight to prolong the payments.

Treasury said the agencies disbursed more than $16 billion in payments to the families of around 61 million youngsters on Wednesday. Treasury and the IRS have handed out roughly $93 billion in payments since the monthly installments began in July.

“Since July, monthly payments of the Child Tax Credit have helped millions of families pay for essentials such as food, childcare, and other household needs as those expenses arise,” Treasury Secretary Janet Yellen said in a statement. “The lives of tens of millions of children across the country have improved because families have received tax relief when they need it most.”

The child tax credit was expanded for 2021 under the coronavirus relief package signed by Biden in March. In the second half of this year, Treasury and the IRS paid out monthly advance payments of the credit as part of the expansion. Families have received up to $300 per month for each kid under the age of six, and up to $250 for each child aged six to seventeen.

In the absence of congressional action, Wednesday’s installment represents the final monthly payment. While Democrats aim to prolong the monthly payments for a year as part of their social spending and climate bill, the Senate has yet to adopt a version.

Source: news.yahoo.com