On July 15, the first round of the expanded Child Tax Credit, a monthly tax cut included in President Biden and Democrats’ American Rescue Plan intended to provide families relief from the coronavirus pandemic, hit American families’ bank accounts. A recent report by CNBC showed that just one of these tax cuts reduced financial anxiety by 56 percent for working families.
In North Carolina, parents across the state have testified to how much of a difference these payments have made in their lives. In Durham, parents have said “It’s a blessing”, “It takes away a layer of stress”, “It was a sigh of relief” and “They have been a game-changer for my family” in reference to their experience receiving the expanded Child Tax Credit. A parent in Asheville said: “Through the expanded child tax credit included in his American Rescue Plan, President Biden is showing an unprecedented level of trust for parents. He knows that we know best how to take care of our kids when given the resources to do it. There’s no better way to do this than invest in families to jump start economic mobility and ensure a better future for our children. President Biden is valuing parents at the level we deserve.”
“These monthly tax cuts for working families are a main pillar of President Biden’s plan to build the economy from the middle out. By providing families in North Carolina and across the country a little bit of breathing room to get food on the table, afford child care, splurge for tutoring sessions and so much more, these payments are already making a big difference in a short amount of time. President Biden’s Build Back Better agenda is investing in families and children to set us all up for success and getting the economy back on track along the way,” NCDP Spokesperson Ellie Dougherty.
In North Carolina, the expanded Child Tax Credit will:
- Be provided to the families of nearly 2 million children.
- Is expected to lift 137,000 children out of poverty.
- Provide monthly payments of $300 to the families for each child under 6 years old.
- Provide monthly payments of $250 to the families for each child between ages 6 and 17.