A bipartisan group of lawmakers today released a roughly $78 billion tax package that would improve the child tax credit, restore a number of business tax breaks, and boost funding for affordable housing and disaster relief, WKOW reports. Several obstacles remain ahead of the deal’s passage, however.
Certain Democratic and progressive groups in Congress have been advocating for the restoration of at least part of the expanded child tax credit that reduced child poverty and stabilized families’ finances in 2021. Some Republicans and business interests, meanwhile, have pushed to reverse limits on companies’ ability to deduct machinery and equipment investments as well as other tax relief.
The deal was not negotiated by the leadership, so its pathway through Congress is unclear. While some are seeking to attach it to a high priority bill to ease its passage, it may need to move ahead as a stand-alone bill. The deal also lacks buy-in from key representatives.
