CENTRAL COAST, Calif, (KION) The online portal for the monthly Child Tax Credit has been unveiled, and families who qualify are expected to receive payments starting July 15th.
Reina Barrios, a salinas resident and a mother of three children said the child tax credit would come as a blessing to her.
“It would mean a lot for my family," said Barrios. "It means we will have enough money to cover rent or pay other utilities. Payments need to be made, the bills won't wait."
Families with children under seventeen typically qualify for a Child Tax Credit. But this year there has been a change in the way this credit is received. This credit will allow families to receive an advancement on next year's taxes.
The CEO of Lopez Tax Services Carlos Lopez said, “You're going to get six monthly payments of at least half of the credit that you potentially would qualify for parsed out over six months, starting July 15.”
Families with children under the age of five will qualify for $300. Families with children between six and seventeen will get $250. To qualify, you must make $75,000 or less for a single taxpayer, $113,500 or less for the head of household, and $150,000 or less for married couples who filed jointly.
"Most of the people that are qualifying for these credits, were working parents, and a lot of them are having a hard time finding a job," said Lopez. "The unemployment benefits are being reduced. So it's a result of the pandemic.”
Parents who qualify have started to receive a letter in the mail regarding this Child Tax Credit. Parents are automatically enrolled and must opt-out if they choose not to receive this advancement. According to Lopez, there is no catch whether a family decides to receive the advancement or opt-out.
"Some people don't want that money in advance," said Lopez. "We have a lot of clients who wait until filing season to get that big fat check all at once. Because for a lot of people, that's the most money they'll ever see one time a year.”
Parents who did not file taxes can use the online portal unveiled this week to confirm eligibility and sign up.
A separate online portal is expected to launch on July 1st where parents can not only reconfirm their eligibility but also opt-out. Parents will only receive a portion of the full child tax credit they qualify for and the remaining tax credit will roll over for next year's tax filing