If you received Internal Revenue Service (IRS) Letter 6419 regarding Child Tax Credit (CTC) advance payment in the mail in January, please be aware that the information in it may be outdated.
In an article dated January 25, 2022, MarketWatch reported that the IRS has received reports of some families having received inaccurate information about their Child Tax Credit payments. While they look into this further, they advise taxpayers to retain the Letter 6419 they receive in January for their 2021 tax filing.
The IRS launched a revamped website ChildTaxCredit.gov which provides information about the CTC and eligibility. There are also links on the site for those who received advance payments to check the amounts through the CTC Update Portal or their IRS Online Account.
CironeFriedberg encourages taxpayers to hold onto Letter 6419 – Advance Child Tax Credit Payments that they receive from the IRS. This letter should contain the total amount of advance Child Tax Credit payments taxpayers received in 2021. You should keep this and any other IRS letters about advance Child Tax Credit payments with your tax records.
It is important that you retain this letter and provide it to your tax professional in order for them to assess the correct advance child tax credit payment dollar amount in order to prepare your tax returns. Entering incorrect advance child tax credit payment amounts will cause delays in processing your tax returns and receiving refunds.
If you believe the amount on your Letter 6419 is incorrect, please note the amount you actually received and provide that information along with the 6419 to your tax preparer.
For more information about tax planning and the Child tax Credit, read our article Year-End Tax Planning for Individuals.
If you need assistance or have any questions on the information in this article, please call your CironeFriedberg professional. You can reach us by phone at (203) 798-2721 (Bethel), (203) 366-5876 (Shelton), or (203) 359-1100 (Stamford) or email us at info@cironefriedberg.com.
