WASHINGTON, D.C. – Today, U.S. Senator Elissa Slotkin (D-MI) announced her support for two bills aimed at putting more money in the pockets of working families in Michigan. The American Family Act, which permanently expands the Child Tax Credit to by increasing the value of the Child Tax Credit from the current level of $2,000 per child to $6,360 for newborns, $4,320 for children ages 1-6, and $3,600 for children ages 6-17.
Slotkin is also supporting the Child and Dependent Care Tax Credit Act which would significantly expand and deepen tax credits available for child care to $4,000 per child.
“The rising cost of raising a family is directly related to how hard it has become to get in and stay in the middle class in this country,” said Senator Slotkin. “Tax policy should be written to ensure Michiganders don’t just get by, but they truly thrive. This pair of bills will ease that burden on families with young children in particular, and allow Michiganders to keep more money in their pockets.”
In Michigan, the yearly average cost of child care for a four-year-old is over $9,000, and infant care totals more than $10,000. Since becoming a Member of Congress, Slotkin has long advocated for legislation to lift the weight off Michiganders, including voting in favor of the bipartisan Tax Relief for American Families and Workers Act of 2024.
Led by U.S. Senator Michael Bennet (D-CO), the American Family Act would:
- Expand the Child Tax Credit (CTC) by increasing the value of the CTC from the current level of $2,000 per child to $6,360 for newborns, $4,320 for children ages one through six, and $3,600 for children age six through 17.
- End the longstanding, discriminatory policy that reduces the value of the Child Tax Credit for low-income families, ensuring that the families of 17 million low-income children left out of the CTC under current law will receive the same credit as families in the middle class;
Provide for monthly delivery of the credit so families have access to the credit as bills arrive; and - Index the CTC for inflation to preserve the value of the credit moving forward.
Led by U.S. Senator Tina Smith (D-MN), the Child and Dependent Care Tax Credit Enhancement Act would:
- Permanently expands the Child and Dependent Care Tax Credit (CDCTC) by increasing the maximum tax credit to $4,000 per child, allowing families to receive up to $8,000 in tax credits to offset up to $16,000 in expenses.
- Automatically adjust to keep pace with inflation;
- Save money by phasing out the credit for families making more than $400,000; and
- Ensure low-income families can benefit from the tax credit by making it refundable.
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