And expanding the child tax credit and making it refundable would help struggling families.
Top Democrats in Congress are also keen on a tax rebate, but they want to make sure it helps poorer consumers, perhaps by making it refundable for those who do not pay income tax.
They also doubled the size of the child tax credit and made it refundable for the working poor, while phasing out the tax on inherited estates and allowing affluent taxpayers to take more deductions and credits.
When Senate Republicans proposed last week to double the existing tax credit for first-time home buyers, to $15,000, Senate Democrats not only signaled their support but proposed making it refundable, as well.
As explained by my colleague Alan Viard, expanding the size of this credit and making it refundable are important steps towards removing the child care penalty that exists in the tax code today.
More to the point, he would make it "fully refundable".
More to the point, he would make it "fully refundable". As a result, a family with an income-tax bill of $3,000 wouldn't merely have that bill eliminated; it would also receive a $1,000 check.
Expand the Saver's Credit (S.2492) and make it fully refundable.
Sens. Marco Rubio (R-Fla). and Mike Lee (R-Utah) want to increase the credit's value to $2,000 and make it fully refundable, which would open it up to low-income workers.
The American Family Act would do away with the Child Tax Credit's earnings requirement, boost its value to $3,600 for families with kids younger than 6 (or $3,000 for kids younger than 17), and make it fully refundable.
