American families are struggling in today’s economy. From the rising costs of food and gas to ballooning home prices, too many Americans are at risk of slipping into poverty. That’s why now is a good time to reflect on poverty-relief programs like the Child Tax Credit (CTC) and consider how to ensure those in need get the support they deserve. Unfortunately, like so many issues in Washington, Democrats and Republicans are at a crossroads over the program, and the question is can we find room for agreement?
When Congress passed the Taxpayer Relief Act of 1997, the CTC was a $500 per-child credit, which helped reduce a family’s tax burden. Today, that relief has ballooned to become a $3,600 allowance — a financial injection directly from government coffers. The 2021 American Rescue Plan initially expanded the CTC even further; but that provision expired in December, and a bill to renew it stalled.
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