WASHINGTON—Parents of infants under 1 year of age or adopted children of any age could receive in advance up to $5,000 of their child tax credit to help cover expenses under a bipartisan bill introduced Dec. 4.
The “Advancing Support for Working Families Act” was unveiled during a joint Capitol Hill news conference by Sens. Bill Cassidy (R-La.), Kyrsten Sinema (D-Ariz.), and Shelley Moore Capito (R-W.Va.), as well as Reps. Colin Allred (D-Texas) and Elise Stefanik (R-N.Y.).
Other co-sponsors of the proposal include Sens. Steve Daines (R-Mont.) and Joe Manchin (D-W.Va.), as well as Reps. Joe Cunningham (D-S.C.), Jeff Van Drew (D-N.J.), Josh Gottheimer (D-N.J.), Jaime Herrera Beutler (R-Wash.), Anthony Gonzalez (R-Ohio), and Bryan Steil (R-Wis.).
“This does not raise taxes, and it does not have mandates. We give options to the parents,” Cassidy said during the news conference.
“Under the tax cut act last year, we increased the child tax credit from $1,000 to $2,000.”
“And what we have done is, we allow a family having a newborn or adopting to pull forward some of that benefit, so that the family, instead of getting $2,000 that first year, can get $5,000.”
“They can take that $5,000 and use it for income replacement if they decide to stay home, or if they need to return to work, they can use it for child care.”
Sinema said, “If a family already gets paid leave through their employer, they could choose to use this $5,000 for supplies, for child care, for purchasing cribs, for taking additional time off beyond what their employer provides.”
“One of the things about the bill that is important is that it is entirely optional. If the family chooses to bring that $5,000 into their home for that first year of life, they will continue to get their child tax credit in the 10 years that follow, just a slightly smaller amount,” she said.
The advanced credit would be repaid out of the working parents salary in $500 increments or in larger amounts if that option is chosen.
Low-income earners who dont qualify for all of the child tax credit can also elect to receive a benefit adjusted to 100 percent wage replacement for a period of three months.
Allred said he discovered earlier this year that Congress itself does not have a family leave policy.
“Earlier this year, I took a leave from Congress as my wife and I had our first child,” Allred told the conference. “It was important for me to be there for the birth of my son. I was raiseRead More – Source