Senate Democrats propose extending Child Tax Credit until 2024 as part of their $3.5 trillion social spending plan.
Child Tax Credit To Be Extended Until 2024
Senate Democrats are considering adding a three-year renewal of President Joe Biden’s improved child tax credit in the $3.5 trillion social spending plan, according to a Senate Democratic source familiar with the current discussions, according to a published article in MSN News.
The aide spoke on the condition of anonymity in order to disclose the details of private discussions and stress that the situation was still fluid. The child tax credit would be extended until 2024, but in a presidential election year, the amount would be cut to $2,000 once again. Families that owe little or no taxes, on the other hand, would get the full benefit amount forever, a concept known as “full refundability.”
In a recently published article in Business Insider, Senate Majority Leader Schumer, and House Speaker Nancy Pelosi are all lobbying for a Child Tax Credit extension until 2024, according to the source. However, there are still many discussions to be had, as some legislators oppose the extension of the Child Tax Credit.
Lawmakers Also Include $300 Monthly Payments in the $3.5 Trillion Bill
The law for the social spending plan is now being drafted by congressional committees. Democrats seek to use a reconciliation process that just needs a simple majority, bypassing what is anticipated to be unanimity among Republicans.
The Senate Finance Committee has been granted $385 billion to extend the child tax credit and a few other programs, including the earned income tax credit and the child and dependent care tax credit, according to a person familiar with the negotiations.
For each child under the age of 17, the child tax credit pays up to $300 a month. As a consequence of the Democratic stimulus package enacted in March, most American families now get a financial benefit. Individuals with incomes of $75,000 or less, as well as couples with incomes of $150,000 or less, are eligible for the full amount.
Child Tax Credit and Stimulus Checks Help Millions of Americans
Senator Sherrod Brown of Ohio, who spearheaded the expansion, is still trying to make the child tax credit available to as many families as possible. It has lifted three million children out of poverty and decreased hunger, according to early statistics.
“The CTC is one of the greatest instruments we have to demonstrate people government is on their side and produce significant outcomes that almost all families with children can feel and experience in their daily lives,” a Brown spokesman said in a statement.