House Democrats plan to use child tax credits as a catalyst to aid millions of American families. The lawmakers are currently drafting The American Family Act. That bill would increase the annual tax credit to $3,000 per child and would be sent to families in recurring $300 monthly increments. Those tax credits would be 100% refundable and the IRS would issue $300 checks per month for children under 6 years old and $250 a piece for those ages 6-17.
“Reps. DelBene and DeLauro are planning to reintroduce the American Family Act soon. We are currently working through technical changes to the bill, including discussions with the Biden administration on how this would be implemented to get benefits to families quickly and efficiently” said congressional spokesperson Nick Martin.
Martin went on to say “The president’s support for this policy is a game changer. The one year expansion is important pandemic relief policy but permanently expanding the benefit could give millions of children the opportunity to succeed. The permanent expansion is estimated to lift 4 million children out of poverty and cut deep poverty among children in half.”
The present child tax credit goes up to a maximum of $2,000 per child for ages 16 and under. Only 70% of those credits are currently refundable. The credit diminishes for single parent families who earn over $200,000 per year or couples who have a combined income that exceeds $400,000 according to Fox.
BY: BEWITTY Staff