The next ten years will be spent restructuring the Child Tax Credit, helping to target low income families and overall create a stable and consistent tax code for taxpayers.
Some things, however, will create complications in the child tax credit’s future.
In 2017 the Tax Cuts and Jobs Act expanded the Child Tax Credit which increased credits by $1,000 and gave larger refundable portions for inflation. The TCJA changes will expire after 2025 though, reverting back to the way things were before 2017.
The American Rescue Plan Act helped to bolster the Child Tax Credit, making what families were already getting more accessible.
In order to expand the credit, it could cost $43 billion in 2031 when expansions have all expired.
FingerLakes1.com is the region’s leading all-digital news publication. The company was founded in 1998 and has been keeping residents informed for more than two decades. Have a lead? Send it to [email protected].