Facing CTC payment issues similar to stimulus checks issues? Here’s what to do
Millions of eligible families got the first instalment of the expanded child tax credit on July 15. However, similar to the coronavirus stimulus checks, there were a few reported issues with the rollout of the child tax credit (CTC) payment, such as missing or inaccurate payments. If you also faced similar issues with the CTC payment, then detailed below are the possible reasons and the likely solutions.
Q2 2021 hedge fund letters, conferences and more
CTC recipients facing issues similar to coronavirus stimulus checks issues
One of the most reported issues is that people eligible for the monthly child tax credit did not receive the payment. Those facing the same issue should check the Update Portal. If the portal says that your payment is sent via mail, then it could take a few days to arrive.
If the payment was sent via direct deposit, then make sure the IRS has your correct bank account information. A point to note is that if you failed to submit your bank account information before June 28, then you would get the July payment through a physical check.
In case all your details are correct, and you still haven’t gotten the payment, then you need to file a payment trace with the IRS. To request the trace, you need to complete Form 3911. You must only request the payment trace if it's been at least five days since the scheduled deposit date (in this case, July 15), or four weeks since the IRS mailed you the paper check.
Another reported issue is that people eligible for the payment haven’t yet filed their return. The child tax payment is based on the taxpayers 2019 or 2020 tax return. In case you haven’t filed the last two tax returns, you can still easily get the payment.
To get the payment, all you need to do is submit your information using the IRS nonfiler portal. You can also use the portal to update information with the IRS, especially if you had a child since then.
Got payment but aren’t eligible: what to do?
One more issue that many reported is that they got the payment even though they weren’t eligible. With the IRS being overburdened with work, it is possible that the agency may have made a mistake and sent some payments to ineligible recipients.
Those who aren’t eligible but received the payment need to return the money back to the IRS. If such is the case, the first thing you need to do is to unenroll from future payments. Doing this would ensure that you won’t have to return the money back to the IRS when you file your taxes next year.
You have until August 2 to opt out of the monthly child tax credit payments using the IRS portal. Even if you opt out now, you would still have to return the July payment if you received one.
The post Facing CTC payment issues similar to stimulus checks issues? Here’s what to do appeared first on ValueWalk.
Source valuewalk
