(CBS DETROIT) – On Monday, July 12, at 7 p.m. Mayor Mike Duggan addressed Detroiters and explained how the one-time child tax credit will work and how it can mean thousands of dollars in additional income for Detroit families with children.
“With this one-time tax credit, President Biden and our congressional delegation have given Detroit families an extraordinary opportunity to significantly increase their income this year and, in many cases, be lifted out of poverty,” Duggan said. “We are going to do everything we can as an administration to make sure every eligible family in our city is able to take advantage of this incredible opportunity.”READ MORE: Eastern Market Cancels Tailgating For Lions Games Amid Worker Shortage
The tax credit is made available through President Joe Biden’s American Rescue Plan and will range from $3,000 to $3,600 per child.
The cash payments vary based on the age of the children:
- $3,600 for each child, five and under in the household
- $3,000 for each child, six to 17 in the household (*Note, that age of the child is based on December 31, 2021.)
To receive the credits, residents must have filed federal tax returns for 2019 or 2020 or signed up to receive a stimulus check from the IRS.READ MORE: Will There Be A National Vaccine Mandate?
If their annual income is below the level required to file a tax return, all that is needed is to fill out and submit a simple form to receive the credit.
During the address, Duggan made sure to explain that this is not a tax refund; it is a direct cash payment made to the individual, even if they did not earn enough to pay any income tax.
He also explained that Detroit families will get half of the tax credit in six monthly payments starting on Thursday, July 15, and the other half will be distributed when they file their 2021 tax return with the IRS.
For more information visit, DetroitMi.GovMORE NEWS: Michigan State AD Beekman Steps Down, Takes On New Role At School
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