If Congress does not move quickly; this week may be the end to the monthly child tax credit payment; benefited by the families of over 61 million children in the United States.
Joe Biden’s American Rescue Plan was approved to boost the child tax credit for the 2021 tax year only; to relieve the effect of the COVID-19 pandemic; If the legislation is approved by the senate, as a compromise, Biden’s Build Back Better legislation would extend the boosted child tax credit into another full year (2022), otherwise, it will return to what it was before it was boosted (pre-pandemic).
From $2000 to $3000 & $3600
The pre-pandemic maximum was $2,000 per child under 17 per annum, but the current bill provides up to $3,600 annually or $300 a month per child age 5. Also provides $3,000 yearly or $250 monthly for children between ages 6 and 17.
the Internal Revenue Service (IRS) warned the Democrats that time is needed to put all logistics into place to be able to meet payment for mid-January 2022. If the legislation is not approved before December 28; then payment won’t come as usual for mid of every month.
All Democrats!!! Unite
Now, the ball is in the court of the democrats, Joe Biden and the Democrats would like the monthly Child Tax Credit payments to continue and to once again go out on the 15th day of next month. There will be strong opposition from the republicans against the extension of the boosted child tax credit.
One democrat’s vote against this legislation can make them lose to the republicans, hence the need for all democrats to unite together. Democrats need all their 50 democrats to unite together to overcome the strength of the opposition (The Republicans).
During an interview on Wednesday with the Insider; Sen. Michael Bennet of Colorado said he is deeply concerned. It would be a tragedy if the child tax credit lapses. He said further after highlighting the benefits of this child tax credit to Americans “We should make sure that we don’t cancel this at the beginning of the new year, that will be a disaster,”
enate Majority Leader Chuck Schumer has strengthened his commitment to passing this legislation by Christmas. Remember the legislation is to continue with the boosted child tax credit for another year (2022).
A Contrary View: Senator Joe Machin
Senator Joe Machin, a senior United States senator from West Virginia since 2010 has a contrary view about the legislation. He is not in a rush to support the legislation.
He believes that the united state is knocking on the doors of inflation (giving rise to the prices of groceries and fuel) if they continue with the boosted child tax credit for another year. . Manchin doesn’t appear to be in any rush to give the legislation a thumbs-up.
On Tuesday, he said at a Wall Street Journal event that the threat of the “unknown we’re facing today” is much bigger than “this aspirational bill we’re looking at.”
He doubled down on Wednesday, telling reporters that the government had already approved $5.4 trillion in new federal spending since the pandemic started and pouring cold water on the concept of more spending.
The Internal Revenue Service is ready to send what will likely be the last round of payments to 35 million families on December 15, 2021. Will more come in 2022? It’s left for the senate to decide. Every vote counts on this bill including the vote of Senator Joe Machin.