The IRS announced on Dec. 22nd that they will be issuing information letters to Advance Child Tax Credit recipients and recipients of the third round of Economic Impact Payments. It's important that your clients hang onto these letters as the letters will help you and your clients with preparing their federal tax return.
Child Tax Credit Letter
Letter 6419 helps clients reconcile and receive the Child Tax Credits. The letter includes the Child Tax Credit payments disbursed to your client in 2021, the number of qualifying children used to calculate the advance payments.
Economic Impact Payment Letter
Letter 6475 can help Economic Impact Payment recipients determine whether they are entitled to and should claim the Recovery Rebate Credit on their 2021 federal tax return. The letter only pertains to the third round of Economic Impact Payments issued March 2021 through December 2021.
Visit the IRS website to learn more.