The Child Tax Credit

The Child Tax Credit

  • mdo  Admin
  •   Articles
  •   July 30, 2021

One of the most momentous laws passed in decades, the expanded Child Tax Credit was signed into law by President Joe Biden as part of the American Rescue Plan. On July 15, 2021, more than "35 million families with 60 million children got the first child tax credit payments" as part of the new law. Families on average received $423 for the month.

"With the expanded Child Tax Credit, we're proving that democracy can deliver for the American people." -President Joe Biden.

For those who are tax return filers, the funds are automatically deposited into bank accounts or via checks. For those who are non-filers, they can use the tool located here. Visit GetCTC.org for more information.

The Child Tax Credit is considered by many to be a type of basic-income policy. The Basic Income Earth Network defines Basic Income as: "A Basic Income is a periodic cash payment unconditionally delivered to all on an individual basis, without means-test or work requirement." While that definition includes universality, in the CTC case the basic income goes to families with children. There is no work requirement and no strings attached for families to benefit from the predictable income.

According to Bank of America Global Research households that received the Child Tax Credit "got a temporary boost to spending following the distribution". According to ABC News families are paying off rent, food, and debts with the child tax credit: "Families paying off rent, food, debts with child tax credit"

Several groups and representatives, including @InherentGood and @income_movement are calling for the Child Tax Credit to be permanent.


In a tweet prior to the CTC The Income Movement Foundation (@income_movement) stated "the child tax credit in this stimulus bill is a guaranteed income for families with children. This is a critical step towards a permanent, federal guaranteed income."

There is also the #BuildingAnEconomyForFamiliesAct - to permanently extend the refundable worker-and-family-focused tax credits included in the American Rescue Plan, including the Child Tax Credit (CTC), Earned Income Tax Credit, and The Child & Dependent Care Credit.

Typically a monthly disbursement of cash, DIGICEN advocates for digital methods of Universal Basic Income deployment through bank accounts and/ or through Internet-enabled Devices and Apps. The Digital Currency Empowerment Network (DIGICEN.ORG) works to advocate for Digital Economic Inclusion through Universal Basic Income, CBDCs, Digital Literacy, Internet Access, and Democracy Tech.


Tags:
ctc child tax credit basic income policy cash transfer funds law legislation bill poverty income movement digital economic inclusion befact build an economy for families act cory booker senator president joe biden democracy american rescue plan stimulus cash



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