Tags: dave camp | child | credit | tax | reform

Dave Camp's Tax Reform Overhauls Child Credit

Image: Dave Camp's Tax Reform Overhauls Child Credit

Thursday, 27 Feb 2014 04:13 PM

By John Gizzi

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
With most press coverage of Rep. Dave Camp's tax reform proposal focused on lowering tax rates and reducing the number of brackets, a much less publicized but significant provision in the Michigan Republican's plan is a complete overhaul of current tax regulations dealing with the child tax credit.

Not only would the child tax credit be increased from $1,000 to $1,500, but a credit of $500 would be allowed for nonchild dependents.

The changes would be indexed for inflation annually — something that is not the case under the present tax code.

The increase in the child tax credit and indexing for inflation are goals long pursued by some pro-family groups. Sources in the national pro-family community expect a major effort by these organizations to generate support for the tax code reforms unveiled on Wednesday by Camp, chairman of the tax-writing House Ways and Means Committee.

"It is a giant step in the right direction," former Virginia Gov. Jim Gilmore, head of the Free Congress Foundation, told Newsmax.

"Most importantly, it lowers the [tax] rates," Gilmore said, adding that what is most needed is a "growth budget" to stimulate the economy.

"This is something that the Free Congress Foundation began actively promoting four years ago," he said.

Under the Camp proposal, the cap on the refundable portion of the tax credit increases from 15 percent of earned income to 25 percent of earned income in excess of $3,000. In addition, the tax credit would not phase out until annual income went above $413,750 for taxpayers filing single returns and $627,500 for those filing joint returns.

Grover Norquist, president of Americans for Tax Reform, strongly seconded Gilmore's opinion of the Camp measure.

"It's very good and very important when tax rates are lowered and a proposal is revenue neutral, which Dave Camp's proposal is," Norquist told Newsmax.

But Norquist also cautioned his fellow enthusiasts over the Camp reforms not to get their hopes up.

"The Senate doesn't like it because it lowers tax rates, so it won't pass it, and if it somehow passed the Senate, Barack Obama wouldn't sign it," he said, "To make Dave Camp's proposal become law will take a Republican Senate and a Republican president."

John Gizzi is chief political columnist and White House correspondent for Newsmax.

Related Stories:

© 2014 Newsmax. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
You May Also Like

Gov. McAuliffe Isn't Talking, but in 2007 Said 'Shut Borders Down'

Tuesday, 22 Jul 2014 21:16 PM

I arrived at the lobby on the floor of Virginia Gov. Terry McAuliffe's office at 7:55 a.m., intent on waiting until I ha . . .

Ted Cruz on 'True Blood': Vampire Vote Belongs to Democrats

Tuesday, 22 Jul 2014 20:51 PM

Sen. Ted Cruz took to social media Tuesday with his take on an HBO "True Blood" episode depicting a bloodbath at a ficti . . .

School's Diversity Policy and Prof's Disdain for It Cause Debate

Tuesday, 22 Jul 2014 20:13 PM

A new diversity policy at the University of Wisconsin in Madison – and an economics professor's open disdain for it – ar . . .

Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved