Problems with your July child tax credit cost? Here’s what to know

Some mother and father are seeing delays with their first child tax credit cost or incorrect quantities. 

Sarah Tew/CNET

The first child tax credit payment landed within the financial institution accounts and mailboxes of tens of millions of eligible US families this month. However, some are nonetheless ready for his or her test for up to $300 per kid to arrive. The IRS disbursed the funds July 15 however there have been a number of bumps with the rollout. Some households may nonetheless have considerations about eligibility or earnings necessities, and others are reporting points with lacking checks or inaccurate totals. 

One attainable supply of issues is that the IRS is counting on your most up-to-date tax return on file to decide the cost quantity. That might trigger a problem if your household did not submit tax data to the IRS or if the tax data is now outdated. It is also merely that the IRS would not have your appropriate banking data for a direct deposit. If that is the case, we are able to present you ways to repair it earlier than Aug. 2 by utilizing the IRS portals

The IRS Update Portal may even permit you to test your cost historical past, confirm eligibility and unenroll from month-to-month checks if you happen to’re fearful about owing the IRS money in 2022. And heads up: You may have to create an account to use the portal (if you have not already). Keep studying for solutions to frequent child tax credit cost issues. We replace this story continuously.

My household is eligible for the child tax credit, however I have never acquired a test. Why?

If you qualify for the improved credit however have not acquired your cost, there may very well be a variety of the reason why. If you filed your taxes, test the Update Portal to see if cost is coming by mail. If so, give it a number of enterprise days to arrive. If you’ve gotten direct deposit arrange, be certain that all the data is correct. Note: If you did not arrange your banking particulars earlier than June 28, you must count on the July cost to come as a paper test.

If every thing appears appropriate however you continue to did not get a cost, you might want to file a cost hint with the IRS. To try this, you may want to full Form 3911 (PDF) and mail it to the IRS. Only do that if it has been at the very least 5 days for the reason that scheduled deposit date of July 15, or 4 weeks for the reason that cost was mailed by test.

I did not file a tax return, however my household qualifies. What ought to I do?

The IRS is utilizing your 2019 or 2020 tax return to decide child tax credit eligibility. If you did not file taxes, you should still be eligible for advance funds — you may simply have to full an additional step. You can use the IRS nonfiler portal to register for future funds. If not, the IRS could not have probably the most up to date data, particularly if you happen to’ve had a child since then. It’s finest to enroll as quickly as attainable to begin getting funds if you happen to qualify. 

Reasons you did not get a child tax credit cost

The downside What to do
You did not file a 2019 or 2020 tax return. Use the IRS nonfiler portal.
Your cost is coming within the mail. Give it time to arrive because it might take a number of days.
You cannot discover any motive why you did not get a cost. It could also be time to file a cost hint with the IRS.

The IRS portal says I do not qualify, however I received a cost. Why?

With the IRS sending out tens of millions of child tax credit funds, alongside with maintaining with income tax refunds and unemployment tax refunds, it is definitely attainable the company might have made a mistake. For occasion, some individuals who weren’t certified for the stimulus checks nonetheless acquired cost.

If you are completely constructive you are not eligible for the improved child tax credit funds however you bought a cost in any case, you may want to return that cash to the IRS. Start by utilizing the IRS Update Portal to unenroll from future paymentsthe following deadline to choose out of the month-to-month funds is Aug. 2. This will assist forestall you from having to pay again more cash if you file your taxes in 2022.

On the opposite hand, some members of a Reddit forum are reporting that regardless of the child tax credit portal displaying they are not eligible, they do meet the necessities and did obtain their first cost. We’ve contacted the IRS for extra particulars on this case.

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Child tax credit: Everything we know


How to tell if my child tax credit payment was direct-deposited

Aside from checking the IRS portal to see if it shows that your payment was issued, you can check your bank account for the deposit. According to the White House website, transactions will contain the company name “IRS TREAS 310” with a description of “CHILDCTC” and an amount for up to $300 per kid. Don’t get this deposit confused with those for stimulus checks, which show up as “TAXEIP3” when deposited. Also, if you’re waiting on a tax refund, it’ll show up as “TAX REF.”

Will I have to pay back child tax credit money to the IRS in 2022?

If you’re eligible for the full amount of child tax credit money, you won’t have to pay it back. However, if you don’t qualify for the full amount because of a change in your income or number of dependents but receive the full amount anyway, you may need to pay back that extra money. 

The IRS is using what it calls “payment protection” so if you do receive an overpayment but fall below a set income level, you don’t have to pay back an overpayment. Above that income level, you will have to pay back some or all of the extra money. Here’s more on the income levels and how the payment protection works.


The next child tax credit check will be disbursed on Aug. 13. 

Sarah Tew/CNET

What to know about enhanced child tax credit checks after 2022

As of right now, the enhanced payments are for this tax year. That means after you get your final payment with your tax refund in 2022, the child tax credit will revert back to its original amount. However, it’s possible President Joe Biden and Congress could come to an agreement to extend the payments in 2025 — or make the changes permanent. Last week, Biden said he is urging Congress to do that: “I say to my colleagues in Congress: This tax cut for working families is something we should extend, not end, next year.”

While no decision has been made yet, we’ll keep you updated on the outcome.

For more information, here’s how to opt out of future child tax credit payments. Also, here’s how to track down your child tax credit payment if you didn’t receive it. Not sure you got the right amount? Use CNET’s child tax credit calculator to see how much you should get.

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