August 24, 2024
A centerpiece of Vice President Harris’ newly released economic plan is a revamped Child Tax Credit, which would send families $6,000 for each newborn and up to $3,600 for older children, up from the existing $2,000 per child credit. Her proposal follows Vice Presidential candidate J.D. Vance’s recent call to increase the credit to $5,000…
May 30, 2024
Politicians regularly vie for the support of parents with promises of good schools, bigger family benefits, and tax relief. President Joe Biden did just that last week in calling for increased funding for public education, child care, and more. Sometimes just the language of the proposal—like the president’s call to expand the child tax credit (CTC)—appears to…
April 8, 2024
When Americans file their taxes in the coming weeks, one group will be singled out for a tax hike: middle-class families with children. This April, a family with three children making at least $42,000 will pay about $950 more in (inflation-adjusted) federal income taxes than they paid in 2018 — when the Tax Cuts and Jobs…
January 12, 2024
Bipartisan negotiations to revive the Democrat-favored 2021 Child Tax Credit in return for Republican-favored business-tax cuts are heating up. The business-tax cuts could be helpful in principle — if they focus on encouraging future investment and don’t add to the deficit. But under no circumstance should Republicans agree to turn the Child Tax Credit into a welfare…
January 11, 2024
With the national debt soaring past $34 trillion, liberal politicians hoping to expand the federal leviathan face a conundrum. How can they convince Americans wary of the effects of runaway government spending—painfully evident in recent elevated inflation and interest rates—to nonetheless support even greater expenditures? As President Biden and others demonstrate, one way is to cast new…
January 10, 2024
Congress’s long list of unfinished business for the new year includes “tax extender” legislation, which is normally considered before lawmakers adjourn for the holidays in December. The fact that this legislation has lingered into January isn’t the only oddity. In an era of already rapidly rising spending, the more troubling anomaly is much of that supposed…
January 9, 2024
A bipartisan group of senators is trying to hash out a deal on extending some of the Republican tax cuts from 2017. If Congress does nothing, the child tax credit will drop down to $1,000 per child from its current level of $2,000. Some lawmakers want to expand the child tax credit massively. Others don’t. There’s a middle course that involves moderately growing…
November 14, 2023
In 2021, Democrats succeeded in temporarily expanding the child tax credit (CTC) as part of President Biden’s American Rescue Plan. Previously, the maximum CTC of $2,000 per child was available only to workers with income tax liability and who exceeded an earnings threshold. The expansion gave every family $3,000 per child—$3,600 for younger children—regardless of whether…
October 25, 2023
Every culture has its famous myths, such as Bigfoot and the Loch Ness monster, and the world of politics is no different. Take, for example, President Joe Biden’s claims that he is a unifier or that ” Bidenomics” is working . The president offered another mythical claim last month when he said that “we cut child poverty by nearly half ……
October 23, 2023
A carbon tax is considered by most economists to be the most efficient and effective way to reduce carbon emissions. However, a long-standing political challenge to a carbon tax is the perception that it would disproportionately burden low- and middle-income households relative to high-income households. Many analysts and lawmakers have proposed using carbon tax revenues…