President Joe Biden said Monday that families will begin receiving part of the expanded child tax credit via advance payments starting July 15, while reiterating his intent to push for the benefit to become permanent, saying next month’s payments are “just the first step.”
Biden made the remarks in a statement on the day the White House officially designated as Child Tax Credit Awareness Day, with the president touting the tax relief measure as a way to “give our nation’s hardworking families with children a little more breathing room when it comes to putting food on the table, paying the bills, and making ends meet.”
The child tax credit, provided for in the American Rescue Plan, offers $3,000 for each child aged 6 to 17 and $3,600 per child under 6 to eligible families. The income threshold to receive the full credit is $75,000 for a single filer, $150,000 for joint filers, or $112,500 for a family with a single parent who qualifies as head of household.
Biden said organizations across the country and elected officials were holding events and training volunteers to spread awareness of how the child tax credit works, while building support for the benefit to become more than just a one-off form of pandemic relief.
“This is just the first step. My American Families Plan will extend this benefit for years to come,” Biden said in a statement on social media.
The child tax credit will be paid out in two parts, with the first half disbursed in monthly installments of $250 or $300, depending on the age of the children, starting July 15 and running through December. The other half, $1,500 or $1,800 per child, again depending on age, is to be claimed on next year’s tax return as a lump sum.
BY TOM OZIMEK