Senator Josh Hawley (R-MO) is seeking to increase the size of child tax credit by 150%, raising it from $2,000 to $5,000.
Hawley’s proposal would allow parents to claim a credit for the tax year of the pregnancy, Axios reported. The senator told the outlet that “[t]these are the people working class, people with families are who elected Donald Trump, and we need to deliver real and meaningful tax relief to them.”
The proposal would also eliminate the $2,500 income minimum for families to access the credit. Tax credits would be received in regular installments rather than a lump sum.
The senator noted that the $5,000 number came under the direction of Vice President-elect JD Vance.
Hawley wrote on X, “President Trump won with the support of working people with kids. Next year’s tax bill should provide them a big tax cut.”
A similar proposal introduced last year sought to provide tax credits for adoptions.
The Adoption Tax Credit Refundability Act sought to amend the U.S. tax code to provide adoptive parents with refundable tax credits for expenses.
Sen. Bob Casey (D-PA), who introduced the bill alongside Sen. Kevin Cramer (R-ND) said, “The more children who are adopted by loving families, the better off our Nation is…this bill will allow more families to experience the joy of expanding their family through adoption.”
Cramer said the “tax credit is an important benefit to encourage prospective families to adopt…shifting it from nonrefundable to refundable will allow families who experience the joy of adoption to take full advantage of the credit, regardless of their tax burden.”
