Categories: Uncategorized

2021 Advance Child Tax Credit Information

The new Advance Child Tax Credit 2021 monthly payments are scheduled to start going out next month, on July 15th. Receiving these advance payments will reduce taxpayers’ credits traditionally on next years tax return filings. We have been getting quite a few questions on how to assist taxpayers wanting to opt-out of receiving these payments, and the IRS just released that the tool to facilitate the management of these payments is now available.
 
There are 3 tools now available to assist your clients manage their Advance Child Tax Credit payments:
 
Eligibility Calculator: allows taxpayers to go through a series of Q&As to determine if they qualify for these advanced credit payments. https://www.irs.gov/…/advance-child-tax-credit…
 
Update Portal: allows taxpayers to opt-out of the payment if they prefer to delay receiving these credit payments until they file their tax return in 2022. https://www.irs.gov/credit…/child-tax-credit-update-portal
 
Non Filer Tool: allows individuals who do not file tax returns to opt-in for these advance monthly payments. https://www.irs.gov/…/child-tax-credit-non-filer-sign…
 
The Update Portal will soon allow for the following functionality if not already available:
 
-Opt-out of receiving these monthly payments in advance
-Update direct deposit banking information
-Update mailing address
-Update family size and status
-Update projected changes in income
 
Be aware that taxpayers that do not already have an IRS account will need to pass identity verification to access and use these tools.
Tina Harvey

Recent Posts

Tax Help Phone Numbers for Professional Tax Preparers

Who do professional tax preparers call when they need help? The answer is, like many…

4 months ago

Tax Certifications For Professional Tax Preparers

Tax season is a busy time for everyone involved, but it's especially important for taxpayers…

12 months ago

IRS Shutting Down MeF E-File System on November 18th, 2023: File Your Taxes Early!

The Internal Revenue Service (IRS) will be shutting down its Modernized e-File (MeF) system on…

1 year ago

2024 PTIN Renewals Open

The PTIN portal is officially open for new 2024 PTINs and for PTIN renewals for…

1 year ago

How Do I Get an ITIN?

An Individual Taxpayer Identification Number (ITIN) is a nine-digit number issued by the Internal Revenue…

1 year ago

What is a Tax Purpose for ITINs?

A "tax purpose" for an individual is the reason why they file a tax return…

1 year ago

This website uses cookies.