Should we be expecting another deposit, since the child tax credit went up, and the unemployment should not have been taxed?

[Critter-3]

If the unemployment exclusion affects your return the IRS will recalculate it automatically and send you the extra refund sometime over the summer.

As for the CTC increase ... that is for the 2021 return you will file next January.

More information will be available soon; the details of how it will be implemented have not yet been clarified fully.  There may be monthly payments going out beginning in July 2021, with some of the CTC still left as a refundable credit on your 2021 tax return next year.

https://ttlc.intuit.com/community/tax-topics/help/how-will-the-stimulus-package-impact-me/01/1393859...

So far, the IRS has not announced the procedures for this tax credit. It is the safe and conservative approach to assume that the credit will have to be paid back if you receive it and then turn out not to qualify. However, that has not actually been announced yet.

The IRS also says that taxpayers will have an opportunity to decline the advance payments.

https://www.irs.gov/credits-deductions/advance-child-tax-credit-payments-in-2021

[DoninGA]

The increase in the child tax credit is effective for tax year 2021 to be filed next year, not for tax year 2020.

You may be eligible for an advance of the child tax credit to be paid during 2021.

See this IRS website for information - https://www.irs.gov/credits-deductions/advance-child-tax-credit-payments-in-2021

And this IRS website - https://www.irs.gov/newsroom/irs-sending-letters-to-more-than-36-million-families-who-may-qualify-fo...

See this IRS website for the unemployment compensation exclusion for those eligible - https://www.irs.gov/newsroom/irs-sending-more-than-2-point-8-million-refunds-to-those-who-already-pa...