Getting a check for the Child Tax Credit? Watch out for these scams
The Better Business Bureau says the newly expanded credit is ripe ground for scammers to get your personal information.
CINCINNATI (WXIX) - Millions of Americans will begin receiving monthly checks from the IRS on July 15 as part of the expanded Child Tax Credit, providing ample opportunity for scammers.
The Better Business Bureau issued a warning on Wednesday for those receiving the checks to look out for imposter scams, con artists and others looking to deprive recipients of the money they’re owed.
The BBB and Federal Trade Commission shared these tips (quoted in full from the BBB release:)
- “Avoid Impostor scams - Government agencies like the IRS or Social Security Administration will not call, text, DM, or email you.
- “Do not give out any personal information, like social security numbers, bank account information, or credit/debit card numbers.
- “Eligibility requirements and payment dispersements are monitored by the IRS only.
- “When someone is requiring payments by gift card, wire transfers, or cryptocurrency, it is likely a scam.”
The CTC, passed as part of the American Rescue Plan, expands the credit from $2,000 to up to $3,600 per child under 6 and $3,000 per child ages 6-17.
Half the credit amount will be paid out in cash from July-December 2021. That’s $300/month for each child under 6 and $250/month for each child ages 6-17.
The rest, claimants will get in their 2021 income tax return.
Enrollment is automatic, according to the IRS.
According to CBS News, the Biden administration wants to extend the monthly payments for five more years. For now, they expire at the end of 2021.
Families will only qualify for the expanded credit if they fall below certain income thresholds:
- $75,000 or less for single taxpayers;
- $112,500 or less for heads of household; or
- $150,000 or less for married couples filing a joint return and qualified widows and widowers.
Some will still get part of the credit if they earn above those thresholds. You can check your eligibility here.
Some 36 million Americans stand to benefit, CBS News reports.
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