The Senate did not pass a permanent expansion of the Child Tax Credit

As of 2024, the Senate has not passed legislation to restore or expand the Child Tax Credit beyond what currently exists. The enhanced credit that ran from 2021 to 2022 — which gave families up to $3,600 per child under 6 and $3,000 per child ages 6 to 17 — expired at the end of 2022. The credit reverted to its previous form: $2,000 per child under 17, with income phase-out limits that vary by filing status.

Several proposals to expand the credit have been introduced in the Senate in recent years, but none have become law. The most recent significant effort was in 2021, when the expanded credit was included in the American Rescue Plan Act. That temporary expansion was always scheduled to end, and Congress did not extend it.

Key Takeaways

  • The Child Tax Credit is currently $2,000 per child under 17, down from the $3,000 to $3,600 temporary expansion that ended in 2022.
  • The Senate has introduced multiple proposals to expand the credit again, but none have passed into law as of 2024.
  • You can still claim the current $2,000 credit on your federal tax return if you meet income and filing requirements.
  • The credit phases out for higher earners: $400,000 for married couples filing jointly, $200,000 for single filers.

What the Current Child Tax Credit Covers

The Child Tax Credit you can claim today is $2,000 per may have access to child under age 17. The child must be a U.S. citizen, national, or resident alien, and you must claim them as a dependent on your tax return. The credit reduces the amount of federal income tax you owe, dollar for dollar.

If the credit is larger than the tax you owe, you may receive a refund. The refundable portion — called the Additional Child Tax Credit — is limited to $1,700 per child for the 2024 tax year. This means if you owe $500 in taxes and have a $2,000 credit, you would get a $1,500 refund (the $500 you owed plus $1,000 of the refundable portion, up to the $1,700 limit).

Income Limits and Phase-Out Rules

The Child Tax Credit begins to phase out once your modified adjusted gross income exceeds certain thresholds. For married couples filing jointly, the phase-out starts at $400,000. For single filers and heads of household, it starts at $200,000. For married couples filing separately, it starts at $200,000.

Once your income exceeds the threshold, the credit reduces by $50 for each $1,000 (or fraction thereof) over the limit. This means high-income families may receive a smaller credit or no credit at all. You will need to calculate your modified adjusted gross income to determine whether the phase-out applies to you.

Why the Expanded Credit Ended

The temporary expansion to $3,000 or $3,600 per child was part of the American Rescue Plan Act, passed in March 2021 as a pandemic relief measure. Congress set an expiration date of December 31, 2022, meaning the enhancement was always intended to be temporary. When that date arrived, the credit automatically reverted to the $2,000 level.

During 2021 and 2022, the expanded credit was also made partially refundable and paid out in monthly installments to may be able to access families, rather than only at tax time. That monthly payment structure also ended when the expansion expired. Families now receive the full credit only when they file their tax return.

Senate Proposals That Did Not Pass

Since the expansion ended, several Senate proposals have aimed to restore or increase the credit. These include bills that would raise the credit to $3,000 or $3,600 again, extend the monthly payment structure, or make the credit fully refundable. None of these proposals have become law.

Proposals have come from both parties and have varied in scope. Some would expand the credit for all families; others would target lower-income households. Some would make the expansion permanent; others would extend it for a set number of years. The lack of passage reflects disagreement over cost, funding, and design.

How to Claim the Current Credit on Your Tax Return

To claim the $2,000 Child Tax Credit, you will need to file a federal income tax return, even if you normally would not owe taxes. You must have a valid Social Security number for each child you claim. You will list each may have access to child on Schedule 8812 (Credits for may have access to Children and Other Dependents) and transfer the credit amount to your main tax form.

If you use tax preparation software or work with a tax professional, they will walk you through the questions needed to determine your credit. You will need to provide each child's name, date of birth, relationship to you, and Social Security number. You will also need to report your filing status and income to determine whether the phase-out applies.

Frequently Asked Questions

Can I get the expanded credit back if I did not claim it in 2021 or 2022?

No. The expanded credit was only available for those tax years. If you did not claim it then, you cannot go back and claim it now. However, if you filed a return for 2021 or 2022 and did not claim the credit you were may have access to to, you may be able to file an amended return within three years of the original due date.

What if I have a child who turned 17 in 2024?

The credit applies only to children under 17 at the end of the tax year. If your child turned 17 during 2024, you cannot claim the $2,000 credit for them on your 2024 return. However, you may be able to claim other credits, such as the Credit for Other Dependents, which is $500 per dependent.

Does the Senate plan to pass an expansion soon?

There is no confirmed timeline. Proposals are introduced regularly, but passage requires agreement in both the Senate and House, plus the President's signature. You can track current proposals through Congress.gov, which lists all bills by status and sponsor.

If I did not file taxes in 2021 or 2022, can I still get the monthly payments I missed?

No. The monthly payments ended in December 2022. If you did not receive them because you did not file a return, you cannot receive them retroactively. However, you may have been able to claim the full expanded credit on your 2021 or 2022 tax return if you filed late.