The federal government has begun to distribute child tax credit payments. You can expect to receive these payments monthly if your adjusted gross income is under $400,000 if filing as Married, or $200,000 if filing as Single, Separate or Head of Household.

Please keep track of the dollars you receive, as they must be reported on your 2021 income tax return, and they will reduce the amount of credit you normally receive.  In January 2022, the IRS should be sending a letter to confirm how much you received in advance child tax credit payments.

We recommend that you opt out of this credit if you typically get a small refund or owe money when you file your tax return. Please note: if you filed as Married, both taxpayers need to opt out of the credit.

Additionally, we are hearing that some taxpayers who opted out are still receiving the initial payments. We are hopeful this will be resolved before the next payment.