On Monday, Democratic presidential nominee Hillary Clinton proposed a new tax cut aimed at parents with children aged 4 and under, especially those in the middle and lower classes. Clinton's plan would double the child tax credit for parents of young children to up to $2,000 per child, and make the credit refundable, meaning parents who did not earn enough to pay federal income tax would still get the money. Donald Trump's child care plan, which is mostly structured as tax deductions, would offer most of its benefits to higher-income parents.
Clinton says her plan, part of a series of tax cuts for the middle class, would cost $150 million to $200 million over 10 years and be financed by already proposed tax hikes on the wealthiest Americans. "Rich people ought to be paying more federal income taxes to pay their fair share for our country," she said in Detroit on Monday. The child tax policy currently gives parents who earn less than $110,000 a year a $1,000 credit for children 16 and younger.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
-
5 fundamentally funny cartoons about the US ConstitutionCartoons Artists take on Sharpie edits, wear and tear, and more
-
In search of paradise in Thailand's western islesThe Week Recommends 'Unspoiled spots' remain, providing a fascinating insight into the past
-
The fertility crisis: can Trump make America breed again?Talking Point The self-styled 'fertilisation president', has been soliciting ideas on how to get Americans to have more babies
-
Warren Buffet announces surprise retirementspeed read At the annual meeting of Berkshire Hathaway, the billionaire investor named Vice Chairman Greg Abel his replacement
-
Trump calls Amazon's Bezos over tariff displaySpeed Read The president was not happy with reports that Amazon would list the added cost from tariffs alongside product prices
-
Markets notch worst quarter in years as new tariffs loomSpeed Read The S&P 500 is on track for its worst month since 2022 as investors brace for Trump's tariffs
-
Tesla Cybertrucks recalled over dislodging panelsSpeed Read Almost every Cybertruck in the US has been recalled over a stainless steel panel that could fall off
-
Crafting emporium Joann is going out of businessSpeed Read The 82-year-old fabric and crafts store will be closing all 800 of its stores
-
Trump's China tariffs start after Canada, Mexico pausesSpeed Read The president paused his tariffs on America's closest neighbors after speaking to their leaders, but his import tax on Chinese goods has taken effect
-
Chinese AI chatbot's rise slams US tech stocksSpeed Read The sudden popularity of a new AI chatbot from Chinese startup DeepSeek has sent U.S. tech stocks tumbling
-
US port strike averted with tentative labor dealSpeed Read The strike could have shut down major ports from Texas to Maine
