By Josh Boak
The Treasury Department said Monday that 39 million families are set to receive monthly child payments beginning on July 15.
The payments are part of President Joe Biden's $1.9 trillion coronavirus relief package, which expanded the child tax credit for one year and made it possible to pre-pay the benefits on a monthly basis. Nearly 88% of children are set to receive the benefits without their parents needing to take any additional action.
“This tax cut sends a clear and powerful message to American workers, working families with children: Help is here,” Biden said in remarks at the White House.
Qualified families will receive a payment of up to $300 per month for each child under 6 and up to $250 per month for children between the ages of 6 and 17. The child tax credit was previously capped at $2,000 and only paid out to families with income tax obligations after they filed with the IRS.
But for this year, couples earning $150,000 or less can receive the full payments on the 15th of each month, in most cases by direct deposit. The benefits total $3,600 annually for children under 6 and $3,000 for those who are older. The IRS will determine eligibility based on the 2019 and 2020 tax years, but people will also be able to update their status through an online portal. The administration is also setting up another online portal for non-filers who might be eligible for the child tax credit.
The president has proposed an extension of the increased child tax credit through 2025 as part of his $1.8 trillion families plan. Outside analysts estimate that the payments could essentially halve child poverty. The expanded credits could cost roughly $100 billion a year.
Updated on May 17, 2021, at 2:06 p.m. ET with the latest details.
A new warning about Russian interference in the 2020 election is raising questions about whether the U.S. is doing enough to prevent the kind of meddling the country saw in the 2016 election.
Roger Stone, a staunch ally of President Donald Trump, has been sentenced to 40 months in prison on his convictions for witness tampering and lying to Congress. The action in federal court comes amid Trump's unrelenting defense of his longtime confidant that has led to a mini-revolt inside the Justice Department and allegations the president has interfered in the case.
These are the headlines you Need 2 Know for Thursday, February 20, 2020.
From the opening bell, Democratic presidential foes have unleashed an aggressive verbal assault on New York billionaire Mike Bloomberg and raised new questions about Bernie Sanders' take-no-prisoners politics in a contentious debate Wednesday night on the Las Vegas Strip.
Federal Reserve officials were mostly optimistic about the U.S. and global economies last month, though they noted the risk posed by China’s viral outbreak and said they were ready to keep their benchmark interest rate at its current low level in the coming months.
At a closed-door gathering in the nation’s capital last month, representatives from close to two-dozen renewable energy, electric vehicle, and environmental advocacy organizations began the early stages of handicapping which Republican senators might be willing to join Democrats in supporting lucrative tax credits for the various green sectors – most of which were axed at the last minute late last year.
These are the headlines you Need 2 Know for Wednesday, February 19, 2020.
A bill to give Kentucky residents access to medical marijuana could go up for a full state House vote as soon as this week.
The Trump administration said Tuesday that it will waive federal contracting laws to speed construction of a wall at the U.S.-Mexico border.
These are the headlines you Need 2 Know for Tuesday, February 18, 2020.
