If you are anticipating the Child Tax Credit (CTC) on your 2021 tax returns, the IRS is paying this credit out to you now. This will reduce the amount of credit you receive when filing your tax returns next year, thus reducing your expected refund amount unless you OPT OUT NOW.
Important changes were made to the Child Tax Credit for the upcoming 2021 tax year, allowing many families to receive advance monthly payments of the credit starting in July 2021.
Families have the ability to opt out of these advance payments if they wish, as the amount of the credit paid in advance will reduce the amount of the Child Tax Credit you will claim on your 2021 tax returns.
To see if you qualify for advance Child Tax Credit payments please go to: https://www.irs.gov/credits-deductions/advance-child-tax-credit-eligibility-assistant
To opt out of the advance Child Tax Credit payments please go to: https://www.irs.gov/credits-deductions/child-tax-credit-update-portal
For any other questions, please go to the IRS page using the link below, or contact our office at (480) 839-3110.
https://www.irs.gov/credits-deductions/advance-child-tax-credit-payments-in-2021