In 2021, the American Rescue Plan expanded the Child Tax Credit, measurably boosting family incomes and pulling millions of children out of poverty. However, this much-needed change was only enacted temporarily, and we need Congress to act now to make the expansion permanent.
Last year, the Child Tax Credit put up to $300 per child per month back into the pockets of families across the country. This expansion has helped households afford child care so they can get back to work, pay their bills to keep a roof over their heads and their heat on, and put food on the table so their children can grow, learn and thrive. We cannot let this tax credit end and send millions of children back into poverty.
In addition to increasing the size of the credit, it was also made to be fully refundable, driving even more dollars into the households that need it most. This has been especially impactful for lower-income families, many of whom, due to this change, received the full credit for the first time.
According to United Way’s ALICE Report, even before the COVID-19 pandemic, nearly 40 percent of households in Michigan could not afford all their basic necessities. The increased Child Tax Credit has meaningfully improved the financial stability of millions of families, and if made permanent, the expansion would:
The Child Tax Credit is a proven, effective tool for increasing economic stability for families with children. Congress has the power to make these changes permanent, improving economic, health and educational outcomes for millions of children.
Join us today to urge Congress to make these expansions to the Child Tax Credit permanent!