The Child Tax Credit is on the brink of a significant expansion, thanks to a $78 billion tax package approved by the U.S. House in a bipartisan vote. This change aims to provide increased financial relief to millions of families across the country.

Primarily, the expanded Child Tax Credit could result in substantial financial relief for parents. As stated by Chuck Marr, Vice President for Federal Tax Policy at the Center on Budget, this expansion could contain considerable benefits for an estimated 16 million children hailing from low-income families.

Interestingly, the tax package isn’t limited to individual benefits alone. Some tax incentives for businesses, which had previously been removed, are also expected to be reinstated under this bill. This could have notable implications for businesses, particularly in states such as Connecticut, where both companies and thousands of low-income families could reap the benefits from these tax breaks.

Despite the bill’s widespread approval, it has faced some opposition. Milwaukee’s Gwen Moore, known for her long-time advocacy for low-income children, criticised the package for leaving the poorest families behind. The bill now awaits approval from both chambers of Congress. If successful, it’s hoped this tax package would have a significant, positive impact on American families and businesses.