Senator Kyrsten Sinema
Pete,
In the recent COVID relief law, we helped secure a bigger Child Tax Credit (CTC) for Arizona’s everyday families.
Under the American Rescue Plan, the maximum value of the tax credit was increased for 2021 to $3,000 per child (including 17 year-olds) or up to $3,600 for children under the age of six.
Arizonans will be able to receive half of their tax credit in monthly installments beginningJuly 15, 2021. Families will be able to then claim the other half of the CTC (which is based on the number of qualifying kids in your household, their age, and your income) when they file their 2021 tax returns next year.
Eligible families will begin receiving advance payments either by direct deposit or check. The payment will be up to $300 per month for each qualifying child under age 6 and up to $250 per month for each qualifying child ages 6 to 17. Eligible families do not need to take any action now other than to file their 2020 tax return if they have not done so.
The IRS has created online tools to help families understand these changes:
- Non-filers Sign-up online portal to help eligible families who don’t normally file tax returns register for the monthly Advance Child Tax Credit payments, scheduled to begin July 15, 2021.
- Child Tax Credit Eligibility Assistantallows families to answer a series of questions to quickly determine whether they qualify for the advance credit.
- Child Tax Credit Update Portal allows families to verify their eligibility for the payments and if they choose, to opt out from receiving monthly payments so they can receive a lump sum when they file their tax return next year.
The new law also made the CTC fully refundable to ensure families earning the lowest wages get needed relief. We’re proud to support these changes to benefit almost 1.5 million Arizona children and families.
For more information on the new Child Tax Credit, visit https://www.sinema.senate.gov/corona/tax.
Sincerely,
Senator Kyrsten Sinema