Title
Urging Congress to expand the Child Tax Credit, an essential anti-poverty initiative that has drastically cut child poverty and benefitted millions of families.
Body
WHEREAS, The Child Tax Credit is a critical tool that effectively improves the economic security of millions of lower-to-moderate income families with children. It is estimated that the federal Child Tax Credit lifts nearly 2 million children out of poverty each year; and
WHEREAS, Child poverty is a tragedy that affects millions of children throughout the United States. Children who live in poverty often experience homelessness, food insecurity, and other hardships that are detrimental to their well-being, education, and health. These devastating impacts further heighten the necessity of better positioning the next generation of children for success; and
WHEREAS, The federal Child Tax Credit was established with bipartisan support as a part of the 1997 Taxpayer Relief Act. Eligible recipients receive the credit when they file for their taxes by subtracting the credit they will receive from the total amount of their federal taxes owed. The amount of the credit has increased over time, and eligibility parameters have expanded to align with the federal Earned Income Tax Credit, another essential anti-poverty initiative; and
WHEREAS, The Child Tax Credit provides a credit of up to $2,000 per child under age 17. If the credit exceeds taxes owed, families may receive up $1,700 per child as a refund; and
WHEREAS, The American Rescue Plan Act (ARPA) of 2021 temporarily expanded the Child
Tax Credit for the 2021 tax year to $3,600 per child younger than age 6 and $3,000 per child ages 6 to 17 and
WHEREAS, The 2021 temporary increase of the credit had a significant impact in reducing childhood poverty. Child poverty in the United States dropped to 5.2%, the lowest rate ever recorded, as a result of federal recovery policies, and in particular, the expanded Child Tax Credit. As a result, child pov...
Click here for full text