Low and moderate-income working families in the US face many issues such as poverty, poor health, and work-related problems. The US government runs many federal schemes to benefit those people and one such scheme in this context is a child tax credit.
Under the Child tax credit program, millions of low and moderate-income working families get certain benefits. In addition, the program helps to eradicate poverty and improve the overall lifestyle of low & moderate families in the US.
According to the Statista report, the number of low-income families in the US from 1990 to 2019 stands at 6.5 million. They lack basic amenities, healthcare, and education which makes their lives miserable. To apply for the child tax credit program, low-income families must satisfy certain criteria.
Families eligible for the child tax credit program can easily get $2000 per child in taxes. Families with a child of Age 17 or over can apply for a child tax credit using the form 1040. Child tax credit program helps to improve the educational outcomes for young children in low-income working families.
Through this program, their children get a better education by attending schools and colleges. Apart from rewarding work and reducing poverty, the Child Tax Credit helps to improve the overall living standards of poor working families in the US.
As per the American Rescue Plan Act 2021, Child tax credit helps taxpayers to support their families. Besides, it also helps to reduce around 45% of American children living in extreme poverty in various parts of the US. Recently, the federal government hiked tax credit as per the new rules to benefit poor individuals in America. See how much you may qualify for with the child tax credit calculator.Business