Child Tax Credit Won’t Be Expanded — How Much You’ll Make in 2023
Democrats and progressives were vying to increase the refundability of the child tax credit so that more of the lowest-income families could continue to qualify for it, as they did under the American Rescue Plan’s temporary expansion in 2021.
The American Rescue Plan increased the Child Tax Credit from $2,000 per child to $3,000 per child for children over the age of six and from $2,000 to $3,600 for children under the age of six, and raised the age limit from 16 to 17. All taxpaying families qualified for the full credit if they made up to $150,000 for a couple or $112,500 for a family with a single parent/head of household.
But now that the days of the expanded child tax credit are looking officially over, things will presumably go back to the way they were before the American Rescue Plan took effect, meaning that families can only claim $2,000 per child in 2023.
“Republican leaders decided to send a lump of coal to America’s children this year,” said Colorado Sen. Michael Bennet, one of those leading the efforts in the Senate, CNN reported on Tuesday. “We know that the most significant step Congress can take to help America’s children is to support an expanded Child Tax Credit. When Congress took action on this in 2021, we cut childhood poverty in America in half.”
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