Expanded Tax Credits Under ARPA Cut U.S. Child Poverty Nearly in Half!

The American Rescue Plan Act (ARPA) of 2021 temporarily expanded the Child Tax Credit. For that year, low-income families were given access to the full amount of the credit. It also allowed the IRS to distribute half of the tax credit through monthly payments from July to December of 2021. The ARPA also temporarily expanded the Earned Income Tax Credit. According to a report from the National Academies of Sciences, Engineering, and Medicine, the temporary expansion of these credits reduced child poverty in the U.S. by nearly half, lifting more than 2 million children above the poverty line. The report provides future options to reduce child poverty. Read the report: https://bit.ly/42QiQjf