Child Tax Credit update – American families will receive monthly $300 payments faster if they use new tool by August 30

by DailyBriefers
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THE IRS has launched a new tool that it hopes will allow some families to receive their $300 monthly Child Tax Credit payments much faster – starting with September’s payments.

In a statement released on Friday, the Internal Revenue Service said that its new feature will allow families receiving their credit by mail to “quickly and easily update their mailing address using the Child Tax Credit Update Portal, found exclusively on IRS.gov.”

A new tool released by the IRS is aimed to allow some families to receive their month Child Tax Credit payments faster

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A new tool released by the IRS is aimed to allow some families to receive their month Child Tax Credit payments fasterCredit: Getty
The IRS new feature will allow families to update their addresses through its portal, allowing paper checks to be received faster

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The IRS new feature will allow families to update their addresses through its portal, allowing paper checks to be received fasterCredit: Getty

The new feature is aimed at preventing mailing delays for any families who opt to receive their payments by paper check.

In order to receive September’s payment to a new address, the IRS encourages Child Tax Credit recipients to update their postal information using the new portal by midnight Eastern Time on Monday, August 30.

Families can still make changes to their information after that date, the IRS said, but they will not be effective until the next scheduled monthly payment.

FASTER PAYMENTS

The tax credits — included in the $1.9 trillion American Rescue Plan signed into law by President Joe Biden in March — were aimed to provide families with up to $3,600 per child over the course of a year.

The first half, which started in July, have been going out as direct monthly payments of up to $300 for the rest of 2021. The other half can then be claimed when filing 2021 taxes.

Any changes to a person’s mailing address using the Child Tax Credit Update Portal will remain for all future IRS correspondence.

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The address change feature can also be helpful to taxpayers that are receiving payments by direct deposit – as the IRS plans to mail an end-of-year summary to all taxpayers who receive advance Child Tax Credit payments during 2021.

Having a current address on file, the IRS said, will ensure the year-end statement will be delivered promptly.

Individuals opting to use the portal can also: switch from receiving a paper check to a direct deposit; change the account where their payments are deposited; and stop monthly payments for the remainder of 2021.

Later this year, the IRS plans to add features to the portal that will allow users to add and remove children easily, as well as alter their marital status and income levels.

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