Changes to the Child Tax Credit—What This Means to Families

Child Tax Credit Yuriy K/Shutterstock

Families might see their tax bill increase for 2022. Changes in the Child Tax Credit will affect all income levels.

First enacted in 1997, the Child Tax Credit has helped American families weather the cost of raising children. The amount has been changed several times. But this time, it’s going down. What is the new credit for the tax year 2022, and how does it affect families?

American Rescue Plan Expands Credit

The shutdown hit families hard. Many industries, like restaurants, had major layoffs. That left many scrambling to make ends meet. Those with children were especially hurt.