The Internal Revenue Service (IRS) announced last week that there would be delays in the direct deposit payments of Child Tax Credit. Recently, they said it was a technical issue that has already been resolved.
How Many Did Not Receive Payments On Time
Around 2 percent of the 35 million child tax credits distributed last week experienced some delay. The IRS already said it had been resolved, and those who did not receive it will be getting the money through direct deposit in the coming days, mLive reported.
Accordingly, those impacted recently made an update on their bank account or address through the IRS child tax credit update portal. It also affected those who are married and jointly filed their tax return even if only one spouse made a bank or address change.
The IRS issued an apology about this technical issue saying: “We know people depend on receiving these payments on time, and we apologize for the delay.”
Different Amount
Aside from the technical issue, another possible issue eligible people may encounter is a different amount than what they expected. The amount depends on the age of their child. For children six to 17, people will get $250 per child. Those who have children five and under will get $300 for each child. This will continue until the last month of this year.
According to the IRS, there are multiple reasons why there may be a discrepancy in the expected amount. One of the factors is if one spouse changed an address or bank account and the other person did not. If this happens, the other spouse’s half could go to an old address or bank account.
Another factor is the recently processed tax returns. Families may expect a higher amount this month if they did not get their July or August payments and are only receiving their first child tax credit payment this September. The amount from July and August will be divided into the four remaining months of the year hence the higher amount deposited to their bank accounts directly or received through paper checks in their mail.
The payment can then be as high as $450 per month for each child five and under and up to $375 for children six to 17.
