A Massachusetts tax relief plan could provide $440 for each child residing in the state.
The long-awaited proposal, which would include $1 billion in tax relief by fiscal 2027, includes the reform of the child tax credit on top of over a dozen other proposals. Massachusetts Senate President Karen Spilka and House Speaker Ron Mariano said that the credit is also for dependent disabled adults and seniors.
The tax credit for the three groups, currently $180, will go up to $310 this year, then $440 in 2024.
Lawmakers touted the bill as the most generous universal child and dependent tax credit in the country,
The proposal, which would top $1 billion in tax relief by fiscal 2027 when fully phased in, includes more than a dozen specific tax proposals — from eliminating the tax for estates under $2 million to increasing the child and dependent tax credit from $180 to $330 per child or dependent in the current tax year to $440 for the 2024 tax year.
Lawmakers say the increased child tax credit will be the most generous universal child and dependent tax credit in the country, CBS News reported. It is projected to benefit 565,000 families.
“It is the largest bipartisan legislative tax relief proposal in over a generation,” Spilka said. “This tax relief bill will help alleviate many, many financial burdens that our families, our seniors, our renters face and put real dollars in their pockets.”
She added that a low-income household with two children will see a tax credit of “real money” totaling over $1,000.
“It’s one of the greatest programs that we’ve ever come up with in my time involved in the state where you can actually get money to stay in your house, even if you don’t pay state taxes,” Mariano added.
The bill is expected to pass the House and Senate, who will vote on it this week. It will then head to Gov. Maura Healey’s (D) office, who has indicated she will sign it.
“This is a comprehensive package that delivers relief to families and businesses, including through our proposed Child and Family Tax Credit,” Healey said in a written statement, obtained by the outlet. “I look forward to reviewing the details.”