When to expect the third IRS child tax credit payment

Eligible taxpayers with their bank account information on file with the IRS, will get their payment via direct payment. The rest of the nearly 36 million parents will get it delivered in the mail. Unless, of course, they have already opted to instead receive it in their 2022 tax return.

Back in March, President Joe Biden signed the $1.9 trillion American Rescue Plan into law. For one year, the bill increases the child tax credit from $2,000 to $3,000 per dependent ages 6 to 17; for those with children age 5 or younger, the credit increases from $2,000 to $3,600 per dependent. Half of those advances can come through monthly payments this year: Eligible parents and guardians receive up to $300 per month this year for each child age 5 or under, or $250 per month for each child between the ages of 6 and 17.

As Coins2Day has previously reported, single filers whose modified adjusted gross income is less than $75,000 per year and couples filing jointly earning $150,000 or less per year can qualify for the full child tax credit for each of their dependents. Households earning above those levels last year will gradually see their payments phase out.

Once this check arrives, there will be three more on the docket. Those remaining monthly advances will go out on the following dates: Oct. 15, Nov. 15, and Dec. 15.

Democrats hope to extend the enhanced child tax credit payments through 2025, but they face some obstacles, including securing the vote of Sen. Joe Manchin (D-W.Va.), who has said he would like to see more restrictions around who receives the credit, such as work or education requirements.