City Extends Free Tax Prep Services to Help New York Families Claim the Advance Child Tax Credit

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NEW YORK—Mayor Bill de Blasio and Department of Consumer and Worker Protection (DCWP) Acting Commissioner Sandra Abeles today announced that the City is expanding post-tax season NYC Free Tax Prep services to help New Yorkers who need to file their taxes or use the IRS’ non-filer tool to claim the Advance Child Tax Credit. As an investment in the long-term recovery from the pandemic, the American Rescue Plan made changes to the Child Tax Credit so families get half of the fully refundable credit—worth up to $3,600 per child—as monthly payments in 2021 and the other half as a part of their refund in 2022. Most families will automatically receive the advance payments, but 250,000+ New York City families with more than 400,000 children need to sign up with the IRS to receive the Credit. DCWP and multiple partner agencies and organizations are also working together to raise awareness of the Credit and available resources, and will be conducting targeted outreach in neighborhoods with a high number of non-filers.

“The Child Tax Credit is a radical investment in working families. This money could help you pay for food, clothing, rent, a mortgage, save for the future and more,” said Mayor Bill de Blasio. “But if you haven’t received your payments yet, you need to act. We can help you get the money you deserve into your hands. Visit nyc.gov/taxprep today.”

“Whether you had a new baby, a change in income, don’t make enough to need to file taxes, are a recipient of SSDI, don’t have a Social Security Number but your children do—whatever the reason, the City is here to help you claim this Credit,” said DCWP Acting Commissioner Sandra Abeles. “Don’t leave the Advance Child Tax Credit sitting unclaimed—it’s yours to help with your expenses. We can answers your questions and help you file, open a bank account, and budget the new money so please visit nyc.gov/TaxPrep or call 311 today if you didn’t receive your credit yet.”

The Advance Child Tax Credits payments began on July 15, 2021 and most New Yorkers do not need to do anything to receive the payments. However, New Yorkers who have not submitted information to the IRS either file their taxes or enter their information with the IRS’ Child Tax Credit Non-Filer Sign-Up Tool. In the coming weeks, NYC Free Tax Prep will be adding multiple options to file for free, including virtual, drop-off and in-person services. 

Income eligibility varies but, in general, families with dependents who earned $68,000 or less in 2020 and individuals who earned $48,000 or less can use NYC Free Tax Prep. Filers should check the eligibility requirements and choose the filing option that is best for them. Anyone who lives or works in New York City can use NYC Free Tax Prep. NYC Free Tax Prep can also help those who don’t need to file complete the IRS’ non-filer tool. For more information about the Advance Child Tax Credit—including a multilingual flyer and poster—and NYC Free Tax Prep, visit nyc.gov/TaxPrep or call 311. In addition to targeted outreach in neighborhoods with the highest number of non-filers, DCWP has distributed resources to over 1,500 community based organizations, community boards, city, state and federal elected officials, consulates, libraries and sister agencies. DCWP is also conducting trainings for City agencies, partner and nonprofit organizations that interact directly with eligible New Yorkers who want to learn more about the Credit and how it can make a difference for families in NYC.

DCWP encourages the estimated 301,700 NYC households who don’t have a bank account, which is the fastest and easiest way to receive payments, to make an appointment at an NYC Financial Empowerment Center or visit DCWP’s Open an Account webpage for information about finding a safe, affordable bank account. Anyone who needs help opening a bank account, budgeting how to spend and save the Credit, reducing debt, strengthening their credit score, or more can make an appointment for free, one-on-one financial counseling in person or by phone with one of DCWP’s Financial Empowerment Centers. To make an appointment, visit nyc.gov/TalkMoney or call 311.

“We have begun delivering the monthly payments of the Advance Child Tax Credit to millions of families with children,” said IRS Wage & Investment Commissioner Ken Corbin, who also serves as the agency’s Chief Taxpayer Experience Officer. “There is also a significant amount of information and tools on our website, IRS.gov, to help more people easily gain access to this important credit, particularly eligible families who don’t normally file a tax return. We thank our partners in the New York City area for their efforts to reach families who can benefit from these payments.”