YOUNGSTOWN, Ohio - If you have children under the age of 18, you could start seeing monthly payments from the IRS starting in July.

"It looks like it's going to help a lot of people. It's going to increase some refunds for next year," said Damien Echols with Jackson Hewitt.

President Joe Biden's American Rescue Plan increased the child tax credit from $2,000 to $3,000 for kids ages 6-17 and $3,600 for children under the age of six. The legislation allows families to get an advance on that credit with monthly payments up to $300 per child. It would likely start in July and run through December.

Basically, you get half your tax credit now and then claim the rest on your 2021 tax return and the money you do receive is not taxable income.

"It is a tax credit that you are receiving that you'll be able to get back on your taxes or get credited on your taxes if you didn't receive it but you won't have to pay anything back and you won't be taxed on it," Echols said.

The new benefits are income based and phase out for individuals making more than $75,000 a year or couples making more than $150,000 a year.

Ineligible families can still get the $2,000 tax credit, that doesn't go away.

Parents don't have to be employed. Now, households with no income can claim the tax credit.

Another perk, all of the tax credit is refundable. Previously, only $1,400 was refundable.

"It's going to give you a larger tax return come next season," Echols said.

As of now, this new child tax credit is only for this year, but President Biden would like to see it made permanent.

Families will also have the option of OPTING OUT of the advance payments, if they want to claim it all at tax time.