Parent Tax Credit Act
This bill allows an eligible individual a tax credit of $6,000 ($12,000 in the case of a joint tax return), with a limitation based on a minimum earned income level. The bill defines eligible individual as any individual who has a qualifying child who is not yet 13. The eligible individual may not be a nonresident alien, any alien unlawfully present in the United States, and any individual who is a dependent of another taxpayer. To be eligible for the credit, the taxpayer must include on the return of tax a valid Social Security account number.
The bill requires the Internal Revenue Service to establish a program for making advance payments of the credit to taxpayers on a monthly basis.
The bill terminates the child and dependent care tax credit after 2021.