The House has passed a bill to expand the child tax credit, with changes that would particularly benefit low-income families, potentially providing a tax cut for those earning less than $21,000 a year. The bill faces uncertainty in the Senate, with some Republicans expressing reluctance due to concerns about the credit being available to migrants. If passed, the bill could also enhance a tax credit for the construction or rehabilitation of rental housing targeted at lower-income households.
The House passed a bipartisan bill that would expand the federal child tax credit, benefiting low-income families the most. The bill would incrementally raise the refundable amount of the credit, with households seeing an average tax cut of $680 in 2023. However, the bill's fate in the Senate is uncertain, with some Republicans expressing reluctance due to concerns about migrants benefiting from the child tax credit. If passed, the bill could also enhance a tax credit for the construction or rehabilitation of rental housing targeted to lower-income households.
The House passed a bipartisan bill that would expand the federal child tax credit, benefiting low-income families the most. The bill would incrementally raise the refundable amount of the credit, with households seeing an average tax cut of $680 in 2023. However, the bill's fate in the Senate is uncertain, with some Republicans expressing reluctance due to concerns about migrants benefiting from the child tax credit. If passed, the bill could also enhance a tax credit for the construction or rehabilitation of rental housing targeted to lower-income households.
Many business owners in the US are able to legally avoid the $10,000 cap on state and local tax deductions, resulting in an estimated loss of $20 billion per year for the federal government, according to the Tax Policy Center.
