News Update

Should single parents get less from the child tax credit than married couples?

Most families can expect to see monthly child tax credit payments beginning July 15, but for single-parent households, as NBC reported, an overlooked aspect of the American Rescue Plan will leave them with a smaller check than married households with the same income. Now a group of Democrats led by Rep. Katie Porter of California has introduced legislation to equalize the income cap for single and two-parent households. 

“No child should receive less nutritious food or less secure housing just because their parent isn’t married,” said Porter, a single mom of three school-age kids. “There’s no discount for single parents at grocery stores, child care centers, or doctors’ offices, yet the child tax credit gives less help to single-parent families.”

Given the way the tax credit is currently structured, single parents filing as heads of their household stop receiving the full benefit when their gross adjusted income hits $120,500 per year. The benefits don’t phase out for two-parent households until $150,000. The result is that a single parent of three making $130,000 per year gets less from the child tax credit than a two-parent household with the same number of children earning $150,000. Porter and others argue this is unfair.