Enhanced child tax credit rolls out

The American Rescue Plan’s increased Child Tax Credit — to $3,600 for every child under six and to $3,000 for every child age six and over — begins today, according to the Internal Revenue Service. The changes will help many families get advance payments of the credit starting this summer. The IRS will pay half the total credit amount in advanced monthly payments and tax filers can claim the other half when they file their 2021 income tax return. The changes apply to tax year 2021 only. The credit is designed to help more than 65 million American children and deliver critical financial support to families – especially working parents – who are struggling with expenses like child care and health care premiums.