Child Tax Credit (CTC)

Three Reasons Expanding Credits Aren’t the Best Pandemic Response for the Vulnerable

While reforming certain tax credits may make sense, there are far better ways to provide individuals and families with more liquidity during this crisis.

HEROES Act Dependent Expansions Come with Major Drawbacks

The HEROES Act adds to the confusion and instability already inherent in the tax code with multiple expiring provisions and reduced filing guidelines.

HEROES Act Temporarily Increases Dependent Credit Generosity

The HEROES Act would make notable expansions to all three dependent-related credits, increasing maximum credit amounts, refundability, and income eligibility phaseouts. Practically, this means that certain filers could expect to receive a larger refund for each additional hour of work, eligible dependent, and dependent care expenses if the bill became law.

HEROES Act First Bid to Provide Phase 4 Relief for Businesses and Individuals

The HEROES Act, the $3 trillion relief package proposed by House Democrats, is the first bid to provide additional phase 4 aid for businesses and individuals amid the coronavirus pandemic.

The Child Tax Credit: Primer

The Child Tax Credit (CTC) is a partially-refundable tax credit available to parents with qualifying dependents under the age of 17. Like other tax credits, the CTC reduces tax liability dollar-for-dollar of the value of the credit.

Weighing the Value of Tax Credits During an Economic Crisis

One idea under consideration is adjusting existing tax credits, such as the Child Tax Credit (CTC) or Earned Income Tax Credit (EITC), to provide financial relief during the crisis.

2020 Tax Brackets

The IRS recently released the new 2020 tax brackets and rates. Explore updated credits, deductions, and exemptions, including the standard deduction & personal exemption, Alternative Minimum Tax (AMT), Earned Income Tax Credit (EITC), Child Tax Credit (CTC), capital gains brackets, qualified business income deduction (199A), and the annual exclusion for gifts.

A Preliminary Look at 2018 Tax Data

Initial 2018 IRS tax return data shows that the TCJA expanded the use of several credits and deductions, made the standard deduction more favorable than itemizing, reduced tax refunds, and lowered taxes for most Americans.

Don’t Judge Your Taxes by Your Refund

Toward a State of Conformity: State Tax Codes a Year After Federal Tax Reform

States incorporate provisions of the federal tax code into their own codes in varying degrees, meaning that federal tax reform has implications for state revenue beyond any broader economic effects of tax reform.

2019 Tax Brackets

The IRS recently released its 2019 individual income tax brackets and rates. Check out the new standard deduction, child tax credit, earned income tax credit, rates and brackets, and more.

Family Provisions in the New Tax Code

The Tax Cuts and Jobs Act Simplified the Tax Filing Process for Millions of Households

The newly expanded standard deduction will reduce the time taxpayers spend working on Form 1040 by 4 to 7 percent, translating into $3.1 to $5.4 billion saved annually.

Examining Different Assumptions About the Republican Framework’s Impact on Lower Middle-Income Households

The broad conclusion here is that, in drafting the Republican Framework, lawmakers have left themselves with at least one significant lever for delivering middle class tax relief: the child tax credit.

Senator Carper Introduces Gas Tax Increase Paired With EITC and Child Tax Credit Expansion

Changes in Refundable Tax Credits

Dynamics and Tax Fairness