February 14 2024- The article discusses Congress’s consideration of expanding the federal Child Tax Credit (CTC), a move that could potentially lift around half a million children out of poverty. The bipartisan proposal suggests increasing the maximum credit per child to $2,000, up from the current $1,600, and is set to be effective until 2025. While the proposed increase is less than the American Rescue Plan’s credit expansion, which expired in 2021, it is expected to significantly enhance the financial stability of approximately 19 million children who currently receive partial or no credit due to their families’ low incomes. Additionally, the expansion aims to eliminate a provision that disproportionately penalizes lower-income households with more than one child, making the CTC more beneficial for those who need it the most.
Proposed child tax credit expansion would lift half a million children out of poverty by 2025
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