The Child Tax Credit in the American Rescue Plan provides the largest Child Tax Credit ever and historic relief to the most working families ever – and most families will automatically receive monthly payments without having to take any action. Funds will begin distribution as early as July 15, 2021.
Low-income families with children are eligible for this crucial tax relief – including those who have not made enough money to be required to file taxes. For those with children, the American Rescue Plan increased the Child Tax Credit from $2,000 per child to $3,000 per child for children over the age of six and from $2,000 to $3,600 for children under the age of six, and raised the age limit from 16 to 17. All working families will get the full credit if they make up to $150,000 for a couple or $112,500 for a family with a single parent (also called Head of Household). Get more information here to share with families.