Democratic Congressman Adam Schiff has sent requests to extend Child Tax Credit before the 118th U.S. Congress takes oath in two weeks. The control of the House of Representatives will be turned over to Republicans and no Republican voted for the Child Tax Credit, says George.
On January 3, 2023, the 118th U.S. Congress will take oath into office. Democrats will retain a majority in the Senate, but the control of the House of Representatives will be turned over to the Republicans. This shift in power urged Democratic Congressman Adam Schiff to urgently address House Speaker Nancy Pelosi and House Majority Leader Steny Hoyer. Schiff aims to extend the expanded Child Tax Credit before Republicans could take over. This is because none of them voted in favor of extending the American Rescue Plan or the expanded Child Tax Credit.
However, the good news is an increasing number of Republicans have supported the Democrats in some parts of the expanded Child Tax Credit program. Both parties are still negotiating to come up with a compromise on what will be included and what will be removed if the Child Tax Credit will ever be extended.
What is the Expanded Child Tax Credit?
According to George, the Child Tax Credit reduced childhood poverty by almost 40%, getting millions of children out of poverty. In 2021, due to the American Rescue Plan, the Child Tax Credit was expanded. The budget was increased from $2,000 to $3,600 per eligible child aged up to 6. For children ages 6 to 17, the Child Tax Credit budget was increased from $2,000 to $3,000. However, in just a month after the Child Tax Credit expired and was not renewed, roughly 4 million children fell back into poverty.