For the advancement of the Child Tax Credit, we have received one payment of $300 in July. Our income increased in 2021. We believe that we will be over the AGI $150,000 combined income limit for 2021 taxes.
We will need to pay back the amount or just a portion of it? Is this like the stimulus checks, where $150,000 was the limit, but it was just less until you hit the "real" limit of x then you got nothing?? Thanks.
The child tax credit has an income phaseout, but you are not earning enough to be affected. However, if you don't need the money, and want to leave it in your account to be applied to your tax return, you can opt out of payments at the Child Tax Credit Update Portal.
Hi Nick,
We expect our joint income this year to be above $150,000, so the income limit would affect us, unless this child credit only goes based off of our 2020 taxes, and not our 2021 taxes? If that is the case, then you are right the income limit wouldn't affect us.
I was under the impression that if you make over $150,000 filing jointly for 2021 taxes then that would affect the payments for the child tax credit given out July-December? Thanks.