COVID-19 relief package could raise child tax credit to $3,000
ALBQUERQUE, N.M. —The American Rescue Plan is now in the Senate after the House approved the $1.9 trillion COVID-19 relief package. A chunk of the money would go to the child tax credit.
The new version would add $1,000 to the existing credit. Therefore, the change would offer $3,000 for a child age six to 17 or $3,600 for children below six years old.
A person would need to make less than $75,000 a year, or less than $150,000 if they’re filing jointly with their spouse, to receive the full amount of credit.
Another push of the bill is for people to receive the child tax credit in monthly payments beginning in July, instead of waiting for a full refund in 2022.
Congresswoman Teresa Leger Fernandez fully supports the bill.
“We will lift about 50% of the children in poverty, out of poverty. Navajo, 75%. Across Indian Country, 60%. These are huge gains for families,” said Leger Fernandez. “New Mexico is one of the poorest states in the country regarding child poverty. We should do everything we can to help those children because when we help the poorest children, we create opportunities for them now. We create a better future for New Mexico."
However, both sides of the aisle disagree.
Congresswoman Yvette Herrell sent KOB 4 a statement on the bill:
“It’s disingenuous to judge such a massive bill by a single, popular provision. A generous tax credit is little consolation to the 1.4 million Americans who CBO projects will lose their jobs because of the federal wage mandate in the bill. Other spending in this $1.9 trillion bill — especially the hundreds of millions in earmarks — is egregious. In fact, only 9 percent of it is even directly related to COVID. It’s sad that my colleagues have forgotten about the future generations who will be stuck paying off their spending spree.”
The bill would offer the increase for a year only. There is proposed legislation sponsored by Leger Fernandez to make the change permanent.