Right now parents can collect up to $3,600 per child under the age of 6, or $3,000 for children between 6 and 17. That may change.
The expanded child tax credits were put into place under the American Rescue Plan and helped 39 million households.
In 2017 the amount was $1,000 per child, and it was changed to $2,000 per child by Congress. The law made it so it would stay that high until 2025.
The American Rescue Plan bumped it up even high for each child for 2021.
Who would be impacted and what does this mean?
Low income families would feel the change the most.
3.4 million kids were no longer in poverty following the advanced payments.
Middle income families will not be as impacted if the amount returns to what it was before 2021.
Personal exemption would return to help offset the hit that lower income families would take.
The House is looking to expand the current amount for child tax credits through 2022, but the Senate needs to approve it.
It would also extend the monthly advance for child tax credits.
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