The Office of Legislative
and Public Affairs

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FMS Issues First Round of
2003 Child Tax Credit Advance Payments

On July 25, 2003, FMS began issuing about $12 billion in child tax credit advance payments to more than 26 million taxpayers from its four Financial Centers in Austin, Kansas City, MO, Philadelphia and San Francisco. President George W. Bush visited the Philadelphia Regional Financial Center July 24 to thank FMS employees for their efforts in this initiative, and to highlight his economic agenda and its benefits for America's families. Earlier this year, President Bush signed into law the Jobs and Growth Tax Relief Reconciliation Act of 2003, which provides for the payments.

On July 16, the Internal Revenue Service sent the first certified payment files to FMS. FMS will continue to make payments to taxpayers who filed for extensions through the end of this calendar year.

As of August 11, FMS had issued 22.8 million checks totalling $13.7 billion. On July 25, FMS issued 7.7 million checks totalling $4.6 billion; On Aug. 1, FMS issued 7.5 million checks totalling $4.5 billion; and on Aug. 8, FMS issued 7.6 million checks totalling $4.6 billion. The remaining payments will be mailed each Friday, at a rate between 10,000 and 100,000 per week until the end of the calendar year. On Aug. 15, FMS will be sending out approximately 70,000 checks.

If you qualify to receive a payment, you can check the status of your payment at the Internal Revenue Service's Web site .

Taxpayers should also consider whether they might owe delinquent non-tax debt to a federal agency. If an individual has an outstanding federal delinquent debt such as a student loan, a veteran's health overpayment, or a federal mortgage, or if an individual owes delinquent child support or delinquent state income tax, the advance payment may be reduced to repay the debt.

Note: Questions relating to special considerations, such as death, divorce, injured spouse claims, or delinquent federal tax debt should be directed to the Internal Revenue Service at (800) 829-1040.