LANSING, Mich. (WLNS) —- If parents have not filed a federal income tax return, Governor Whitmer is encouraging parents to do so, or use the non-filer sign-up tool. The push from Whitmer is so that students will be eligible for federal Child Tax Credit Payments.
The American Rescue Plan Act of 2021, Child Tax Credits were increased to $3,600 per year for parents under 6 years old and $3,000 per year for children 6 to 17 years old. the tax credit will be issued monthly, and willl not count as additional income.
Governor Whitmer stated the following regarding the impact of the Child Tax Credit,
The federal Child Tax Credit is a powerful tool to help us fight childhood poverty. This is a game-changing investment that will uplift kids and families in Michigan and across the United States and is another example of how we are making a real difference in people’s lives right now. The first step to receive the credit is to file a federal tax return for 2020 or sign up using the Non-Filer Sign Up Tool. Unlike the earlier Child Tax Credit, parents may be eligible to receive the advance payments even if they have not previously filed taxes and have low or no earnings.”
Families who meet the guidelines will receive a check from the IRS or through direct deposit on July 15, August 13, September 15, October 15, November 15, and December 15.
According to a statement from Whitmer,
The new maximum credit is available to taxpayers with a modified Adjusted Gross Income (AGI) of:
- $75,000 or less for singles
- $112,500 or less for a single parent, also called (head of household)
- $150,000 or less for married couples filing a joint return and qualified widows and widowers
Those with a federal and state return may be eligible for other state tax credits, like the Home Heating credit, the Homestead Property Tax Credit and the Earned Income Tax Credit.
Those who have not made enough money to have to file taxes are eligible to receive this tax credit.
The American Rescue Plan is the boldest vision for fighting child poverty in the U.S. in at least 50 years. Research shows if we can intervene while kids are young, it’s going to pay dividends in terms of higher academic performance, lower engagement with the criminal justice system, and higher earnings over a lifetime.”Poverty Solutions Faculty Director H. Luke Shaefer,
We are asking community groups, non-profits, religious associations and education organizations to share this critical information about the federal Child Tax Credit with parents. We have a real opportunity to make a difference in children’s welfare here in Michigan.”