Democrats want to send up to $ 3,600 per child to families

House Democrats are expected on Monday to reveal their plan to send up to $ 3,600 per child to families, a vast but temporary expansion of aid to families that experts have projected could lift millions out of poverty.

The proposal, a copy of which was obtained by NBC News, would add more details to President Joe Biden’s request to expand the Child Tax Credit as part of his $ 1.9 trillion Covid-19 relief legislation. An aide said the plan was subject to change before it was formally released.

• The proposal would provide $ 3,600 per year for children under 6 and $ 3,000 for children under 18.
• The money would be distributed in monthly installments by the IRS starting in July.
• Payments would be eliminated for individuals who earn more than $ 75,000 and couples who earn more than $ 150,000.

The proposal would increase the size of the Children’s Tax Credit, which, under current law, offers $ 2,000 to children under 17 and is distributed annually.

Deputy Richard Neal, D-Mass., Chairman of the House’s Ways and Means Committee, said in a statement that the pandemic “is driving families increasingly into poverty, and it is devastating.”

“We are making the Child Tax Credit more generous, more accessible and paying it monthly,” said Neal. “That money is going to be the difference in a roof over someone’s head or food on their table. That’s how the tax code should work for those who need it most, and as long as I’m the chairman of the media and media Committee, it’s that you can expect from us. “

The proposal is expected to be included in Biden’s $ 1.9 trillion total relief plan, although it will have to meet certain technical criteria, as Democrats are pressing to move forward through a Congressional process that gives them will allow to circumvent a potential obstruction of the Republican Party in the Senate.

Pressure for a $ 15 federal minimum wage no longer fit the parliamentary rules that govern the process, known as reconciliation, said Biden.

While Republicans criticized the $ 1.9 trillion plan as being too big, it is possible that the increase in the Children’s Tax Credit will gain at least some bipartisan support. Senator Mitt Romney, R-Utah, released his own plan on Thursday to give families an even bigger, permanent child support. Romney financed his plan in part by cutting other spending programs.

A spokesman for Romney did not immediately respond to a request for comment on the Democrats’ plan. The White House also did not respond to a request for comment. Rosemary Boeglin, a White House spokeswoman, said last week that the Biden government wants to work with lawmakers to come up with a permanent plan to increase assistance to families with children.

Increasing the amount of aid the United States distributes to families with children would make the country more aligned with the amount of aid provided by other developed nations, which generally have lower levels of child poverty. The Covid pandemic has increased pressure on families, leaving millions unemployed and closing schools across the country.

According to Columbia University’s Center for Poverty and Social Policy, Biden’s economic relief agenda – including raising the Child Tax Credit and other measures – would cut the rate of child poverty in the United States by half.

While plans to increase aid to families with children are widely supported by Democrats, Neal’s proposal faced some technical criticism from progressives. After The Washington Post first reported the plan on Sunday, Matt Bruenig, a left-wing analyst, wrote that “the administrative project here is a mess.”

Bruenig wrote that the plan was wrong to use tax information from the previous year to determine the size of a family’s monthly payment, although their eligibility for the program is based on the current year.

“This will lead to * both * underpayments and overpayments. And overpayments will trigger refunds through surprise tax accounts,” wrote Bruenig in a post on Twitter.

The plan is also likely to face criticism from Republicans, who insisted on reducing the aid package and making it a narrower target.

A counterproposal by 10 Republican senators last month, including Romney and Sens. Susan Collins of Maine and Lisa Murkowski of Alaska cut the increase in the Child Tax Credit.

Senators Marco Rubio of Florida and Mike Lee of Utah, who supported efforts to increase the size of the Child Tax Credit, also spoke out against Romney’s plan, suggesting that Republican Party support may be limited. The two senators said they did not support providing aid to families where the parents are unemployed.

“We have long said that the Child Tax Credit should be increased to help working families. In the current pandemic relief bill under consideration, we would support raising the Child Tax Credit to $ 3,500 and $ 4,500 for young children” , said the two senators.

“However, we do not support the transformation of the Child Tax Credit into what has been called ‘family allowance’, paid as a universal basic income for all parents. This is not a tax break for working parents; it’s social assistance, ”they added.