PARENTS who want to opt out of their monthly Child Tax Credit payments must do so by October 4 in order to avoid paying that money back when they file taxes in 2021.
There are many reasons a household may want to opt out of the credits, which can amount to up to $300 per child.
Families may be planning ahead as they know their tax situation may change and don’t want to deal with updating their personal details on the portal.
Or, they are concerned that the IRS may send an overpayment.
This may happen if a household’s income went up because you returned to work or a child may have aged out of an eligibility bracket.
The deadline to opt-out for the October child tax credit is October 4 by 11.59pm Eastern Time.
The IRS is using 2020 tax returns to determine eligibility for the monthly payments, so those who haven’t filed their taxes yet could miss out on the benefits.
Additionally, parents who didn’t make enough income to file a…