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Illinois lawmakers propose child tax credit

SPRINGFIELD, Ill. (WCIA) — A group of Illinois lawmakers are proposing a child tax credit.

The Child Tax Credit was a federal policy in 2021 in the American Rescue Plan Act that gave American low-income families up to $3,600 in a tax refund. Despite proposals from both Republicans and Democratic lawmakers, Congress has not passed a bill to keep the credit going past this this upcoming tax season.

Under the state proposal, any primary guardian who makes less than $50,000 as a single filer, or $75,000 as a joint filer, would receive $700 per child in their tax refund. Guardians who make less than $75,000 as a single filer or $100,000 as a joint filer would get partial credits.

“Even a few hundred extra dollars can help families like mine to get through,” Donna Carpenter, a mother and grandmother with Community Organizing and Family Issues, a group advocating for the bill. “With an extra $700, I could pay some of my bills and go to the store to buy clothing for my disabled son.”

Lawmakers argue a tax credit is essential due to recent spikes in inflation.

“Working parents are struggling worse than ever before.” State Senator Mike Simmons (D-Chicago) said. “It is time for the state to create a permanent Child Tax Credit that puts money back into the pockets of parents in Illinois, so that parents can take care of their children and communities can begin to recover.”

The group Economic Security for Illinois said the bill would cost between $700 and $800 million dollars, or about 2% of the state’s FY2023 budget. According to lawmakers, Governor J.B. Pritzker, Illinois Speaker of the House Chris Welch (D-Hillside), and Illinois Senate President Don Harmon (D-Oak Park) have yet to commit to the proposal. The current version of the proposal has no sunset date.