This bill would change parts of the Internal Revenue Code to give residents of Puerto Rico the same treatment as others for the refundable portion of the child tax credit. It amends section 24(d)(1) by adding a reference to section 933 and changes how the statute defines "social security taxes" for the purpose of calculating the refundable portion by adding a new clause to section 24(k)(2)(B). The bill says these changes apply to taxable years beginning after December 31, 2024. The bill was introduced in the House and referred to the Committee on Ways and Means. Sponsors listed are Representatives Pablo Hernández and John Larson.
If you are a resident of Puerto Rico with qualifying children, this bill would change the tax-code rules that determine the refundable part of the child tax credit. It adjusts which income rules are referenced and how certain payroll tax amounts are counted when computing the refundable amount. These changes could affect whether you receive a refundable payment and how large that payment would be, starting with tax years after 2024.
No publicly available information on estimated costs or budgetary effects is included in the bill text or provided metadata.
The bill text states its purpose is to "provide equitable treatment for residents of Puerto Rico with respect to the refundable portion of the child tax credit," indicating supporters seek to make treatment more equal under the tax code.
No publicly available information on objections, opposition statements, or competing views is included in the bill text or provided metadata.