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.
Zoe Henry, reporter for INC. Magazine, discusses how the tax overhaul is affecting both corporations and middle-income Americans.
Elizabeth Preza, staff writer at Raw Story, discusses the controversy surrounding the release of the secret memo. We talk about Democrats calling for House Intelligence Committee Chairman Devin Nunes (R-CA) to step down and what this could mean for the 2018 midterms.
Apple, Amazon, and Alphabet all report earnings after the bell. San Francisco announced this week the city is wiping out Marijuana convictions dating back to 1975. Bitcoin plummeted below the $9,000 mark on Thursday. PPG's 2018 Color of the Year is "Black Flame"
San Francisco District Attorney George Gascón says three other California cities reached out to his office after he announced this week the city is wiping out Marijuana convictions dating back to 1975. Cheddar's Baker Machado spoke with Gascón about why he felt it was so important to clear these convictions.
Facebook reveals users are spending less time on the platform. Americans are spending big on their pets this Valentine's Day. Dr. Travis Stork from "The Doctors" stops by to explain how you can eat healthier without breaking the bank. Plus, Family Circle gives advice on how to use tech to promote heart health.
Mike Cernovich may be emerging as the new Bannon in the alt-right movement. Vanity Fair's Tina Nguyen discusses his politcal stragety and how badly Bannon is perceived among the alt-right these days.
FBI Deputy Director Andrew McCabe stepped down this week. Vanity Fair's Chris Smith joins The Hive to discuss what this means for the Russia investigation and what might be going on in President Trump's mind.
The Hive co-hosts Kristen Scholer and Jon Kelly discuss the top 5 hottest stories in tech and politics. From Melania Trump's appearance at the State of the Union to Mark Zuckerberg's play for local news, The Hive has the latest news you need to know.
More drama is unfolding around the Nunes memo which allegedly criticizes the FBI's handling of the Russia investigation. Congressman Adam Schiff (D-CA) tweeted that House Intelligence Committee Chairman Devin Nunes (R-CA) made changes to the memo he sent to the White House without getting those changes approved by Congress. Mother Jones' Ben Dreyfuss discusses whether this development could prevent the president from releasing the memo.
People are spending less time on Facebook, according to the company's latest earnings report. Twitter doubles the number of users who interacted with Russian-linked trolls. And eBay is parting ways with longtime partner PayPal in favor of Dutch payment processing company Adyen. Plus, we bring you a full hour on the Business of Sports heading into Super Bowl weekend.
