On June 25, the House Ways and Means Committee approved, 22-15, the Child Tax Credit Improvement Act (H.R. 4935), sponsored by Rep. Lynn Jenkins (R-KS).
According to the committee description, the bill would modify the child tax credit by indexing the credit to inflation, beginning after 2014; increasing the beginning of the credit phase-out from $110,000 to $150,000, for married individuals filing joint returns, thus eliminating the so-called “marriage penalty”; and indexing the beginning point of the income phase-out to inflation.
Current law provides a $1,000 credit per child, which begins to be phased-out at $75,000 for single taxpayers, $110,000 for married individuals filing joint returns, and $55,000 for married individuals filing separate returns.
