fbpx Q&A with David Ellwood: Can an expanded child tax credit make a dent in American poverty? - David Ellwood | Harvard Kennedy School

HKS Affiliated Authors

Isabelle and Scott Black Research Professor of Political Economy, Emeritus

Excerpt

March 23, 2021, Opinion: "The American Rescue Plan Act of 2021, perhaps better known as the $1.9 trillion COVID relief bill, contains an expansion of the child tax credit. Previously, parents were eligible for a credit of $2,000 per child. Parents can now receive up to $3,600 per child under age 6 and $3,000 per child ages 6-17. Another major change is that the credit can be paid out in advance by the IRS in monthly payments of $300 and $250, respectively. And the expansion makes the credit refundable for all families making less than $112,000 or $150,000 for joint filers, meaning that families with no income are eligible for the credit. We asked David T. Ellwood, the Isabelle and Scott Black Professor of Political Economy at Harvard Kennedy School, to share his insights on the ways that this policy change will affect children, families, and the broader U.S. economy. As Assistant Secretary for Planning and Evaluation at the U.S. Department of Health and Human Services under former U.S. President Bill Clinton, Professor Ellwood played a key role in the administration's efforts around welfare reform and served as the co-chair of President Clinton's Working Group on Welfare Reform, Family Support and Independence. He is recognized as one of the country’s leading experts on poverty, welfare, and social policy." Read Via the Harvard Kennedy School

 

HKS Author - David Ellwood