Resource Policy

Five Elements for an Effective Child Tax Credit

This fact sheet outlines the key principles for designing an effective Child Tax Credit that reduces child poverty, supports working families, promotes racial and economic equity, and delivers long-term benefits for children and the economy.

Author: Kali Grant
Published Year: 2025

This resource sets out five core principles for building a Child Tax Credit that lowers child poverty, boosts family economic stability, promotes equity, and supports children’s long-term success. It emphasizes the importance of full refundability, timely payments, smooth delivery, avoiding harmful restrictions like work requirements, and ensuring the credit keeps pace with inflation.