Senators Hassan & Young Introduce Bipartisan Bill to Strengthen the Child Tax Credit and Provide a Tax Cut for 3.5 Million Working Families

WASHINGTON – U.S. Senators Maggie Hassan (D-NH) and Todd Young (R-IN) introduced the bipartisan Stronger Start for Working Families Act, which would provide a tax cut to 3.5 million working families with children by allowing them to begin receiving the full Child Tax Credit (CTC) starting with the first dollar they earn…

Under current law, millions of working families do not receive the full value of the Child Tax Credit because their income isn’t high enough to maximize the refundable portion of the credit. The Stronger Start for Working Families Act would cut taxes for these families by allowing them to begin earning refundable CTC benefits beginning with the first dollar of income that they earn, rather than only for income over $2,500. According to the Tax Policy Center, this change would provide a tax cut to nearly 3.5 million families with kids in 2026.

The bill is supported by the following organizations: America Forward, American Compass, BPC Action, Bread for the World, Local Initiatives Support Corporation, Niskanen Center, R Street Institute, RESULTS, Third Way, Indiana Community Action Poverty Institute, Prosperity Indiana, and United Way of Central Indiana…

“The R Street Institute supports the Stronger Start for Working Families Act. This impactful legislation would modernize earned income thresholds and increase refundability under the Child Tax Credit—putting more money back in the pockets of working families. R Street’s Project for Women and Families has long prioritized policies that reduce child poverty, and this proposal would do just that. We applaud Senator Hassan (D-N.H.) and Senator Young (R-Ind.) for their bipartisan leadership and encourage more Senators to join them in this important effort. Ensuring that children in this country do not grow up in poverty is not a partisan issue; it is simply the right thing to do,” said Anthony Lamorena, Senior Federal Affairs Manager at the R Street Institute.