Extension and Enhancement of Increased Child Tax Credit
Section 70104 · Sec. 70104 ·
What this chapter is about
This part raises the child tax credit to $2,200 and takes the end date off it. It requires a social security number for the parent and the child. It sets how both the credit and its refundable part rise with prices. The changes start with tax years after December 31, 2024.
“in paragraph (2), by striking "$2,000" and inserting "$2,200", and”
The section strikes $2,000 in paragraph (2) of section 24(h) of the Internal Revenue Code of 1986 and inserts $2,200, strikes the words and before January 1, 2026 from paragraph (1), and replaces 2018 Through 2025 in the heading with Beginning After 2017.
What the document actually says
“in paragraph (2), by striking "$2,000" and inserting "$2,200", and”
That sentence, in plain words
The figure $2,000 is taken out. The figure $2,200 is put in.
What this is about
Words setting an end date are also struck. The heading is reworded to match. So the credit carries on with no end year.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall not”Who acts: Secretary of the TreasuryHow: statuteSec. 70104 in the PDF
What the document says
“No credit shall be allowed under this section to a taxpayer with respect to any qualifying child unless the taxpayer includes on the return of tax for the taxable year--”
The section rewrites section 24(h)(7) of the Internal Revenue Code of 1986 to deny the credit for a qualifying child unless the return carries the taxpayer's social security number, or on a joint return at least one spouse's, and the child's. A social security number means one issued by the Social Security Administration to a citizen of the United States or under a named subclause of section 205(c)(2)(B)(i) of the Social Security Act, and issued before the return's due date. The section also replaces a cross reference in section 6213(g)(2)(I) so that it points to section 24.
What the document actually says
“No credit shall be allowed under this section to a taxpayer with respect to any qualifying child unless the taxpayer includes on the return of tax for the taxable year--”
That sentence, in plain words
No credit is given for a child unless two numbers are on the return. The list that follows says which.
What this is about
One is the taxpayer's own number. On a joint return one spouse's will do. The other is the child's number.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall”Who acts: Secretary of the TreasuryHow: statuteSec. 70104 in the PDF
What the document says
“In the case of a taxable year beginning after 2025, the $2,200 amount in subsection (h)(2) shall be increased by an amount equal to--”
The section rewrites section 24(i) of the Internal Revenue Code of 1986 so that from a taxable year beginning after 2024 the $1,400 refundable amount rises by a cost of living adjustment under section 1(f)(3) measured from 2017, and from a taxable year beginning after 2025 the $2,200 credit amount rises by the same kind of adjustment measured from 2024. An increase that is not a multiple of $100 is rounded down to the next lowest multiple of $100.
What the document actually says
“In the case of a taxable year beginning after 2025, the $2,200 amount in subsection (h)(2) shall be increased by an amount equal to--”
That sentence, in plain words
From a tax year that begins after 2025 the $2,200 grows. The rise is worked out as set out below.
What this is about
It follows a cost of living measure in the tax code. The refundable part grows in the same way. Any rise is rounded down to the nearest $100.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall not”Who acts: Secretary of the TreasuryHow: statuteSec. 70104 in the PDF
What the document says
“The amount determined under subsection (d)(1)(A) with respect to any qualifying child shall not exceed $1,400, and such subsection shall be applied without regard to paragraph (4) of this subsection.”
The section rewrites section 24(h)(5) of the Internal Revenue Code of 1986 to cap the amount under subsection (d)(1)(A) for a qualifying child at $1,400, and to apply that subsection without regard to paragraph (4) of subsection (h).
What the document actually says
“The amount determined under subsection (d)(1)(A) with respect to any qualifying child shall not exceed $1,400, and such subsection shall be applied without regard to paragraph (4) of this subsection.”
That sentence, in plain words
The refundable amount may not top $1,400 for a child. One other paragraph is left out of the sum.
What this is about
A refundable credit can be paid out even with no tax owed. The cap limits that part. It rises with prices under the rule above.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall apply”Who acts: Secretary of the TreasuryHow: statuteSec. 70104 in the PDF
What the document says
“The amendments made by this section shall apply to taxable years beginning after December 31, 2024.”
The section applies its amendments to taxable years beginning after December 31, 2024.
What the document actually says
“The amendments made by this section shall apply to taxable years beginning after December 31, 2024.”
That sentence, in plain words
The changes start with tax years that begin after December 31, 2024.
What this is about
Earlier tax years are not touched. The old rules still hold for them. The date is fixed in the law.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
Each distinct thing the section does: strike the end date and raise the credit amount, require social security numbers and define what counts as one, set the inflation adjustments and rounding, cap the refundable amount, and fix the effective date.
The cross reference change in subsection (e) that replaces section 24(e) with section 24 is carried in a summary rather than recorded as its own proposal.
The section works by amending sections 24 and 6213(g)(2)(I) of the Internal Revenue Code of 1986, which are not indexed here, so how the credit is otherwise worked out cannot be checked against anything on this site.
