Child Tax Credit Expansion: A Step Forward for Low-Income Families
Tax Season Bonanza Awaits with Child Tax Credit Expansion Bill! (PHOTO: CNBC)
House Passes $78 Billion Tax Package – Expanding Child Tax Credit to Benefit Low-Income Families
House lawmakers passed a $78 billion tax package on Wednesday night. It includes expanding the child tax credit (CTC) which could help a lot of kids from low income families. From the Center on Budget and Policy Priorities said it’s a big step in the right direction even if it’s not as good as the pandemic era CTC. The bill wants to expand the CTC until 2025. It’s expected to help 400,000 kids to get out of poverty in the first year and 3 million kids be less poor. If it becomes a low families might save about $680 on taxes for 2023. The bill passed in the House but it still needs 60 votes to pass in the Senate. It might be difficult because of other important things they’re working on but the bill could help a lots of kids and families so it’s important to keep trying. (CNBC)
READ ALSO: Your Income Is Replaced By Social Security Less Now Than It Was Previously
Child Tax Credit Expansion Linked to Decrease in Child Poverty – Highlights Importance of Continued Support
Steven Hamilton a professor at George Washington University says the child tax credit (CTC) helps families with kids. When the CTC got bigger in 2021 fewer kids were poor. But when the CTC went back to normal more kids became poor. The American Rescue Plan made the CTC bigger giving families up to $3,000 or $3,600 per child. This helped a lot of families and made the child poverty rate the lowest ever in 2021. But in 2022 when the help stopped the child poverty rate went back up to 12.4%. This shows that helping families with the CTC is important to keep kids from being poor.
READ ALSO: Philadelphia New Tax Refund Tracker: Stay Informed On Your Return!
