By Josh Boak
The Treasury Department said Monday that 39 million families are set to receive monthly child payments beginning on July 15.
The payments are part of President Joe Biden's $1.9 trillion coronavirus relief package, which expanded the child tax credit for one year and made it possible to pre-pay the benefits on a monthly basis. Nearly 88% of children are set to receive the benefits without their parents needing to take any additional action.
“This tax cut sends a clear and powerful message to American workers, working families with children: Help is here,” Biden said in remarks at the White House.
Qualified families will receive a payment of up to $300 per month for each child under 6 and up to $250 per month for children between the ages of 6 and 17. The child tax credit was previously capped at $2,000 and only paid out to families with income tax obligations after they filed with the IRS.
But for this year, couples earning $150,000 or less can receive the full payments on the 15th of each month, in most cases by direct deposit. The benefits total $3,600 annually for children under 6 and $3,000 for those who are older. The IRS will determine eligibility based on the 2019 and 2020 tax years, but people will also be able to update their status through an online portal. The administration is also setting up another online portal for non-filers who might be eligible for the child tax credit.
The president has proposed an extension of the increased child tax credit through 2025 as part of his $1.8 trillion families plan. Outside analysts estimate that the payments could essentially halve child poverty. The expanded credits could cost roughly $100 billion a year.
Updated on May 17, 2021, at 2:06 p.m. ET with the latest details.
California Rep. Ro Khanna has a novel idea about how to solve the government shutdown: call in some experts."Why don't we get an independent group of experts? The President appoints two people. The House appoints two people. The Senate appoints two people," the Silicon Valley-based Democrat suggested. "Put them in a room ー six folks ー and have them come up with proposals that are going to be 6-0."
With Los Angeles public schools ending a third day without their striking teachers, a deal between the union and the district remains elusive, according to Joseph Zeccola, a 2018-19 L.A. County Teacher of the Year and one of more than 30,000 educators currently protesting in the country's second-largest school district. "We're at a standstill," Zeccola told Cheddar from the picket line on Wednesday. "The offers right now have not been good."
The U.S. needs to work on improving its relationship with China as well as stabilizing its own economy by ending the government shutdown, JPMorgan Chase chairman and CEO Jamie Dimon said on Wednesday.
The ongoing government shutdown will hurt franchisees, Fat Brands CEO Andrew Wiederhorn told Cheddar on Monday. The closure of the Securities and Exchange Commission may inconvenience companies like Fat Brands, which need access to the public markets, but its franchisees, who run outposts of Fat Brands restaurants like Fatburger and Ponderosa Steakhouse, can't seek loans or expand their businesses. "There is a trickle down effect to us, but it's pretty small. I think really it affects the small business owner ... and it's coming out of their pocket," Wiederhorn told Cheddar.
Airline passengers are facing long security lines as unpaid TSA officers have begun calling in sick due to the government shutdown. Staffing shortages led to the closure of an entire terminal at Houston's George Bush International Airport. Local Houston TSA President, Freddie Cuellar, says closing the terminal is the best way to utilize the staff who are able to come to work.
These are the headlines you Need 2 Know for Wednesday Jan. 16, 2019.
President Trump has taken the government hostage, and House Democrats refuse to negotiate with a hostage-taker, House Majority Leader Steny Hoyer (D-Md.) told Cheddar on Tuesday. "This is not about the wall, it's not about health care, it's not about ... spending. This is about a promise the president made, and he has now taken the government hostage," Hoyer told Cheddar's J.D. Durkin as the 25th day of the partial government shutdown dragged to a close.
Canopy Growth is planning its entry to the U.S. on the back of the new Farm Bill ー and aims to establish a hemp "hub" in New York, according to CEO Bruce Linton."New York is setting up a pretty progressive approach and we have an earlier first license under that system so we can actually create a hub," Linton told Cheddar on Tuesday.
As the government shutdown drags on, calls from some conservative corners have increased for President Trump to declare a national emergency in order to get federal employees back to work while diverting funds to build a border wall. However, conservative radio show host Erick Erickson is cautioning the president against doing just that.
The cannabis industry enjoyed a productive 2018, but the government shutdown may be turning the industry's green light to yellow. Cannabis stocks are up overall, but according to Debra Borchardt, co-founder and CEO of Green Market Report, the government shutdown has left some farmers and companies in limbo.
