House Plans Temporary $2,500 Child Tax Credit Amid Eligibility Changes

House Republicans introduced a $3.8 trillion tax bill that proposes a temporary increase in the child tax credit from $2,000 to $2,500 per child through 2028, after which it would revert to $2,000 indexed for inflation. However, the bill includes a new eligibility rule requiring both parents to have valid Social Security numbers, which could disqualify an estimated 4.5 million children who currently qualify, including U.S. citizen and legal resident children with undocumented or non-SSN parents. Supporters argue the increased credit adjusts for inflation and aids family formation, adoption, and educational choices, while critics contend the SSN requirement penalizes immigrant families and excludes many children from needed financial relief. The bill also extends other provisions of the 2017 Tax Cuts and Jobs Act, including increased standard deductions and repealed personal exemptions, aimed at benefiting working families and simplifying filing. Child tax credit expansions have been credited with significant reductions in child poverty, and many advocates call for a full expansion to provide long-term stability and support for low-income families. The bill passed the House Ways and Means Committee along party lines and now moves to the House Budget Committee for further consideration.