If Democratic members on the House Ways and Means Committee had their way, enhancements to the Child Tax Credit (CTC) in the proposed Tax Relief for American Families and Workers Act would have been more expansive. In its current form, the bill increases the maximum “refundable” CTC (the amount you can get as a refund even if you don’t owe any tax) by $200 per child to $1,800 for 2023, $1,900 for 2024 and $2,000 for 2025. However, Democrats wanted the credit to more closely resemble CTC provisions that were in place during the pandemic. These include having the CTC be fully refundable and allowing eligible taxpayers to receive CTC benefits in advance via monthly payments. Stay tuned.
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