House Republicans have released a 300-page tax proposal centered on making President Donald Trump’s 2017 Tax Cuts and Jobs Act (TCJA) permanent. The plan, dubbed ‘one big, beautiful bill,’ also includes an expansion of the federal Child Tax Credit (CTC).
The proposal raises the CTC from $1,000 to $2,500 through 2028, then sets it to $2,000 thereafter. It also adds a Social Security number requirement for recipients. The refundable portion would stay capped at $1,400 per qualifying child, adjusted for inflation.
For 2024, families could claim up to $1,700 per child. However, families earning $2,500 or less remain ineligible for the refundable credit, affecting about 17 million low-income children. No structural changes to this provision were outlined.
The House Ways and Means Committee aims to advance the bill by Memorial Day, May 26. Over ten years, the measure would cut taxes by over $4 trillion and reduce federal spending by $1.5 trillion.
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