House Passes Bill That Expands Child Tax Credit

House Passes Bill , That Expands Child Tax Credit.

The House passed a $78 billion bipartisan tax package on Jan.

31, CNN reports.

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It will now go to the Senate.

If adopted, the bill would give low-income families a bigger credit within the first year.

At least 500,000 children would be lifted out of poverty by the package, CNN reports.

The deal is not expected to largely affect the federal budget.

It would likely decrease revenues by no more than $400 million over a decade, CNN reports.

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The maximum credit, after being adjusted for inflation, is expected to reach $2,100 per child, up from $2,000 currently.

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The provisions would be implemented for tax years 2023 through 2025.

The deal would also restore some business tax benefits that were originally part of the 2017 Tax Cuts and Jobs Act.

Disaster relief funding is included in the bill as well.

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Disaster relief funding is included in the bill as well.