SENATE DOCKET, NO. 2082        FILED ON: 1/20/2023

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 1823

The Commonwealth of Massachusetts

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PRESENTED BY:

Paul R. Feeney

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To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:

The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:

An Act expanding the child tax credit.

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PETITION OF:

SENATE DOCKET, NO. 2082        FILED ON: 1/20/2023

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 1823

The Commonwealth of Massachusetts

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In the One Hundred and Ninety-Third General Court
(2023-2024)

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An Act expanding the child tax credit.

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

Section 6 of chapter 62 of the General Laws,  as amended by sections 32 and 33 of chapter 102 of the acts of 2021, is hereby amended by striking out subsection (y) and inserting in place thereof the following subsection:-

(y) A taxpayer who maintains a household that includes as a member at least 1 individual under the age of 13 who qualifies for exemption as a dependent under section 151 of the Code shall be allowed a credit in an amount equal to $600 for each such dependent; provided, however, that a credit shall not be allowed under this subsection if a credit is claimed under subsection (x); provided further, that if the taxpayer is married at the close of the taxable year, the credit provided in this subsection shall be allowed if the taxpayer and the taxpayer’s spouse file a joint return for the taxable year or if the taxpayer qualifies as a head of household under section 2(b) of the Code; provided further, that for the purposes of this subsection, “maintains a household” shall have the same meaning as in section 21 of the Code; and provided further that total income for the taxable year does not exceed $200,000 for a single-filer household or $400,000 for a dual-filer household. If the amount of the credit allowed under this subsection exceeds the taxpayer’s tax liability, the commissioner shall treat the excess as an overpayment and shall pay the taxpayer the entire amount of the excess.

A taxpayer who maintains a household that includes as a member at least 1 individual under the age of 13 who qualifies for an exemption as a dependent under section 151 of the Code shall be allowed a credit in an amount equal to $3000 for each such dependent; provided, however, that the dependent was deemed ineligible for the federal child tax credit provided by the federal American Rescue Plan Act; provided further that a credit shall not be allowed under this subsection if a credit is claimed under subsection (x); provided further, that if the taxpayer is married at the close of the taxable year, the credit provided in this subsection shall be allowed if the taxpayer and the taxpayer’s spouse file a joint return for the taxable year or if the taxpayer qualifies as a head of household under section 2(b) of the Code; provided further, that for the purposes of this subsection, “maintains a household” shall have the same meaning as in section 21 of the Code; and provided further that total income for the taxable year does not exceed $200,000 for a single-filer household or $400,000 for a dual-filer household. If the amount of the credit allowed under this subsection exceeds the taxpayer’s tax liability, the commissioner shall treat the excess as an overpayment and shall pay the taxpayer the entire amount of the excess.

A taxpayer who maintains a household that includes as a member at least 1 individual who is: (A) not less than 65 years of age or who is disabled; and (B) who qualifies as a dependent under section 152 of the Code, shall be allowed a credit in an amount equal to $180 if there is 1 such dependent with respect to the taxpayer or $360 if there 354 are not less than 2 such dependents with respect to the taxpayer; provided, however, that a credit shall not be allowed under this subsection if a credit is claimed under subsection (x); provided further, that if the taxpayer is married at the close of the taxable year, the credit provided in this subsection shall be allowed if the taxpayer and the taxpayer’s spouse file a joint return for the taxable year or if the taxpayer qualifies as a head of household under section 2(b) of the Code; and provided further, that for the purposes of this subsection, “maintains a household” shall have the same meaning as in section 21 of the Code. If the amount of the credit allowed under this subsection exceeds the taxpayer’s tax liability, the commissioner shall treat the excess as an overpayment and shall pay the taxpayer the entire amount of the excess.