The IRS is continuing to update their website with current information on the Child Tax Credit and reporting of advanced payments! Be sure to check out the Links below!!
Issue Number: IR-2022-10
Inside This Issue
IRS updates FAQs for 2021 Child Tax Credit and Advance Child Tax Credit Payments
This extensive FAQ update (FS-2022-03) PDF includes multiple streamlined questions for use by taxpayers and tax professionals and is being issued as expeditiously as possible.
The updates can be found in:
Recipients of advance Child Tax Credit payments will need to compare the amount of payments received during 2021 with the amount of the Child Tax Credit that can be claimed on their 2021 tax return.
Those that received less than the amount they are eligible for can claim a credit for the remaining amount. Those that received more than they are eligible for may need to repay some or all of the excess amount.
The IRS will send Letter 6419 in January of 2022 to provide the total amount of advance Child Tax Credit payments that were received in 2021. The IRS urges taxpayers receiving these letters to make sure they hold onto them to assist them in preparing their 2021 federal tax returns in 2022.
More information about reliance is available.