The Senate did not pass a permanent expansion of the Child Tax Credit, though it has passed versions of the credit multiple times

The Child Tax Credit as it exists now — $2,000 per child under 17 — was made permanent by the Tax Cuts and Jobs Act of 2017, which the Senate passed. However, the larger, temporary expansion that ran from 2021 to 2022 — which raised the credit to $3,600 for children under 6 and $3,000 for children 6 to 17, and allowed monthly payments instead of a lump sum at tax time — was not extended beyond 2022. That expansion expired on December 31, 2022.

The Senate has not passed legislation to restore or make permanent the expanded version since then. Several proposals have been introduced in Congress to do so, but none have become law. The credit remains at the $2,000 level that has been in place since 2018, with the exception of 2021 and 2022 when the temporary increase was in effect.

Key Takeaways

  • The $2,000 Child Tax Credit per child is permanent law and has been since 2018.
  • The larger credit amounts ($3,600 and $3,000) that existed in 2021 and 2022 expired at the end of 2022 and have not been restored.
  • The Senate has not passed new legislation to extend or expand the credit beyond its current $2,000 amount.
  • Proposals to restore the expanded credit are introduced regularly but have not advanced to become law.

What the Senate passed in 2017 and what it means now

The Tax Cuts and Jobs Act, passed by the Senate in December 2017, doubled the Child Tax Credit from $1,000 to $2,000 per child. This version of the credit was set to expire after 2025 under the original law, but it remains available now for the 2024 tax year and beyond until Congress changes it.

To claim the $2,000 credit on your 2024 tax return, you must have a child under age 17 at the end of the year, have a valid Social Security number for that child, and meet income limits. The credit begins to reduce if your modified adjusted gross income exceeds $400,000 for married couples filing jointly or $200,000 for other filers.

The 2021-2022 expansion and why it ended

The American Rescue Plan, passed by the Senate in March 2021, temporarily increased the Child Tax Credit to $3,600 for children under 6 and $3,000 for children ages 6 to 17 for the 2021 tax year only. This law also allowed the credit to be paid monthly — $300 per month for younger children and $250 per month for older children — rather than claimed only when filing taxes.

For the 2022 tax year, the credit amounts remained the same ($3,600 and $3,000), but the monthly payment option was not extended. The credit reverted to the $2,000 amount starting with the 2023 tax year because Congress did not pass legislation to extend the higher amounts. The expansion was always written as temporary, with an expiration date built in.

Why the Senate has not extended the expanded credit

Extending or making permanent the expanded Child Tax Credit requires new legislation that the Senate must pass. Several bills have been introduced to do this, but they have not advanced far enough to become law. The reasons vary — some proposals have not had enough support from both parties, others have been part of larger tax bills that did not pass, and some have been debated as part of broader spending or tax reform efforts.

The expanded credit is expensive to fund. The Congressional Budget Office estimated that extending the 2021 expansion through 2025 would cost roughly $100 billion per year. This cost is one reason proposals to restore it often stall during budget negotiations.

What proposals are currently being discussed

Members of Congress from both parties have introduced bills to restore the expanded Child Tax Credit, but none have passed the Senate as of now. Some proposals would restore the $3,600 and $3,000 amounts; others would make different changes to the credit structure. These bills are typically introduced early in each new Congress, but movement depends on whether they gain bipartisan support and whether they fit into broader tax legislation that Congress is working on.

You can track current proposals by searching Congress.gov for "Child Tax Credit" to see which bills are active and what stage they are in. The site shows you the bill text, sponsors, and any votes or committee actions.

How the current $2,000 credit works on your taxes

The Child Tax Credit you can claim now is $2,000 per may have access to child. You claim it on your tax return when you file — there is no monthly payment option. The credit reduces the amount of tax you owe dollar-for-dollar, and up to $1,600 of it can be refunded to you if you owe less tax than the credit amount (this is called the refundable portion).

To claim the credit, you need the child's full name, date of birth, and Social Security number on your return. The child must be a U.S. citizen, national, or resident alien, and must live with you for more than half the year. You must also have earned income during the year to claim the refundable portion.

Frequently Asked Questions

Will the Senate pass a bill to bring back the $3,600 credit?

It is possible but not certain. Proposals have been introduced, but the Senate has not passed one into law yet. Whether this happens depends on future legislative priorities and whether a bill gains enough support from both parties. You can check Congress.gov to see which bills are currently being considered.

Can I claim the $3,600 credit on my 2024 taxes?

No. The $3,600 and $3,000 amounts were only available for the 2021 and 2022 tax years. Starting with 2023 taxes, the credit is $2,000 per child. Unless Congress passes new legislation, the $2,000 amount will remain in effect.

What if I received monthly payments in 2021 or 2022 — do I have to pay them back?

No. The monthly payments you received were part of the law at that time. You do not have to repay them. However, when you file your 2021 or 2022 tax return, you must account for the payments you received, and your final credit amount on your return may be different from the total payments you got.

Is the $2,000 credit permanent or will it expire?

The $2,000 credit is set to expire after 2025 under current law, but it has been in place since 2018 and Congress has not indicated plans to let it expire. If you want to know the status of any bills that would extend it beyond 2025, check Congress.gov for recent proposals.