There are numerous avenues to economic empowerment for families, particularly those from systematically disenfranchised and under-resourced communities. One particularly relevant avenue is tax credits, a government program that places money in the hands of various groups toward the goal of economic stability and sustainability.
Right now, the Child Tax Credit (CTC), a program that could be an invaluable resource to families with children, is at a make-or-break political moment. Will lawmakers codify a version of the CTC that provides desperately needed resources to the most vulnerable families across the country?
In 2021, as part of the American Rescue Plan, many families began receiving $250-$300 more per child through automatic monthly payouts. The impact was immediate.
- The child poverty rate was cut by nearly 40%.
- For the first time ever, the child poverty rate dropped below that of adults
- Without the CTC and other interventions, 2020 would’ve seen the second-largest increase in poverty ever
The Child Tax Credit (CTC) was allowed to expire at the end of 2021. After a year without the expanded CTC, lawmakers are debating whether to restore this credit and, if so, how it should be done.
Last week, TEP President Zakiya Jackson met with Advocacy and Training Associate Lena Anglin for a discussion about the Child Tax Credit and where things stand politically. We encourage you to check out their conversation for a deeper look and understanding.
Over the next few months, we’ll talk about economic empowerment and what it means for Black and Brown children, along with children experiencing poverty and other forms of marginalization to have a clear path to financial security, stability, and thriving.
Stay tuned for ways you can take action on this important policy.
