(FOX BUSINESS) – A crucial letter that will help child tax credit recipients figure out how much money the IRS still owes them may contain incorrect information.
The IRS said this week that it is investigating reports from some taxpayers that Letter 6419 includes the wrong dollar amount that parents received from the boosted child tax credit, which was paid out in monthly installments from July to December.
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The wrong information could have serious implications for some households' finances: Because at least half of the enhanced credit will be paid out as a lump sum when parents receive their 2021 tax return, recipients need to keep the letter and use it to accurately reconcile the credit they already received when filing their taxes this year. The information is pertinent to determining how much more money families receive from the credit when they fill out Schedule 8812 and Form 1040.