Many families are unaware they may still qualify for the expanded Child Tax Credit (CTC) from 2021. As part of the American Rescue Plan, the credit increased to $3,600 per child under age 6 and $3,000 per child under 18. However, if you haven’t claimed it yet, time is running out.
The IRS allows taxpayers to claim certain credits for up to three years, meaning eligible families can still receive this benefit—but only if they file before April 15, 2025.
Who Qualifies for the $3,600 Child Tax Credit?
To be eligible for the expanded Child Tax Credit for 2021, you must meet the following criteria:
- The child must have been under 18 at the end of 2021.
- The child must have a valid Social Security number.
- The child must be related to you (biological, adopted, stepchild, sibling, or dependent relative).
- The child must have lived with you for at least six months in 2021.
- The child must not have provided more than half of their own financial support in 2021.
- You must meet income requirements:
- Full credit: Married filers earning up to $150,000, head-of-household filers earning up to $112,500, and single filers earning up to $75,000.
- Partial credit: Available for higher incomes but phases out gradually.
If you meet these requirements, you could still receive the full credit, even if you didn’t owe any taxes in 2021.
Why Was the Child Tax Credit Increased?
The American Rescue Plan aimed to reduce child poverty by expanding financial support for families. Here’s how the 2021 CTC was different from previous years:
| Year | Maximum Credit Per Child | Refundability | Eligible Age |
|---|---|---|---|
| 2020 | $2,000 | Partially refundable ($1,400 max) | Under 17 |
| 2021 (ARP) | $3,600 (under 6) / $3,000 (6-17) | Fully refundable | Under 18 |
Additionally, for the first time, low-income families in Puerto Rico and U.S. Territories became eligible for the full credit, providing essential financial relief.
How to Claim Your Child Tax Credit Before the Deadline
If you haven’t yet claimed your 2021 Child Tax Credit, the IRS estimates that $1 billion in refunds remain unclaimed. To get your money, follow these steps:
- File or amend your 2021 tax return by April 15, 2025.
- Use Form 1040-X (Amended U.S. Individual Income Tax Return).
- Include Schedule 8812, which calculates the Additional Child Tax Credit.
- Submit your return electronically or by mail to the IRS.
Even if you didn’t owe taxes in 2021, you could still receive a refund by claiming this credit.
Don’t Miss Out on Thousands in Tax Benefits
The expanded Child Tax Credit was a once-in-a-generation financial boost for families. If you haven’t claimed your 2021 CTC, don’t wait—file before April 15, 2025 to secure your benefit before it goes back to the Treasury.
FAQs
1. Can I claim the 2021 Child Tax Credit if I didn’t file taxes that year?
Yes. The IRS allows taxpayers to file retroactively for up to three years.
2. How do I know if I already received the credit?
Check your IRS tax transcripts or review your 2021 return for Schedule 8812.
3. What if I missed the April 15, 2025, deadline?
Unfortunately, after this date, the credit will no longer be available for claim.
4. Can I claim the CTC if I had a baby in 2021?
Yes. As long as your child was born in 2021, they qualify for the full credit.
5. What if my income was too high in 2021?
The credit phases out gradually, so you may still be eligible for a partial benefit.
FAQs:
What if I didn’t file taxes for 2021?
You can still file a late return or an amended return (Form 1040-X) to claim your credit before April 15, 2025.
What if my income was too high in 2021?
The credit phases out gradually, so you may still qualify for a partial benefit even if your income was above the full-credit limit.
Can I claim the credit if I had a baby in 2021?
Yes! If your child was born in 2021, they qualify for the full Child Tax Credit.