Bill > S1382

This bill makes several significant changes to the U.S. tax code, primarily focusing on enhancing child-related tax credits and modifying various tax provisions. The bill permanently expands the Child Tax Credit, increasing the base credit amount to $4,200 for children under 6 and $3,000 for children 6-17, with a sliding scale based on income and a maximum of 6 qualifying children per taxpayer. Additionally, it introduces a new Tax Credit for Pregnant Mothers, offering $2,800 for pregnancies of 20 weeks or more, available to eligible mothers or joint filers. The bill also simplifies the Earned Income Credit by increasing credit percentages and adjusting income thresholds, eliminates the additional exemption for dependents and the Head of Household filing status, and modifies the tax credit for child and dependent care expenses by restricting eligibility to children 17 and older who require substantial care. Furthermore, the bill denies individuals the deduction for state and local taxes, with some exceptions for business-related taxes. These changes are set to take effect for taxable years beginning after December 31, 2025, and aim to restructure several tax benefits related to families and children.

Budget and Finance

https://www.congress.gov/bill/119th-congress/senate-bill/1382/all-info