In 2021 and 2022, the expanded program child tax credit (CTC) gave 39 million households unconditional cash payments, lifting millions of children out of poverty.
But just as they failed to include a renewal of the program in the Cut Inflation Act they passed earlier this year in the United StatesDemocrats were unable to include it in the $1.7 trillion spending plan that is making its way through Congress.
Democrats and Progressives fought to make the Child Tax Credit more refundable so that more low-income families could continue to qualify, as was the case under the US rescue planthe temporary extension in 2021.
How much child tax credit did families receive in 2021 and 2022?
the Child tax credit was supplemented by the American Rescue Plan by $2,000 to $3,000 per child for children over six and $2,000 to $3,600 for children under six. His age limit was also changed from 16 to 17.
“Republican leaders have decided to send a piece of coal to American children this year,” said Michael Bennet, a senator from Colorado.
“We know the most important step Congress can take to help America’s children is to support an expanded child tax credit. When Congress took action on this in 2021, we cut the child poverty in America.
How much child tax credit will families receive in 2023?
If a couple earned up to $150,000 or a single parent/head of household up to $112,500, all taxpaying households were eligible for the full credit.
But now that the era of the enhanced child tax credit appears to be officially over, things will likely go back to how they were before the US rescue plan went into effect, meaning families will only be able to claim $2,000 per child in 2023.
“For the past few weeks, Republican leaders in Washington have refused to even discuss a deal that would benefit American children and businesses,” added Michael Bennett.
“They were absent from the negotiating table, so the coming year will be much more difficult for American families.”