If you received advanced child tax credit payments last year, the IRS will send you a “Letter 6419,” which will include the total amount of monthly child tax credit payments you received in 2021. Don’t throw the letter away – you’ll need it when you file your 2021 federal income tax return. You’ll have to reconcile the payments you received with the actual child tax credit you’re entitled to claim on your return. In most cases, the credit allowed will exceed the payments received. If that’s true for you, claim the excess as a credit on your return. However, if the credit amount is less than the payments you received, you may have to pay back some or all of the excess.
