# Child Tax Credit Equity for Puerto Rico Act

Right now, Puerto Rico residents face different rules than mainland Americans when it comes to the child tax credit—a tax break that helps families with children. This bill aims to level the playing field by giving Puerto Rican families the same benefits that mainland families receive.

Here's the current situation: The child tax credit is supposed to help reduce what families owe in taxes based on how many children they have. However, Puerto Rico residents who claim the tax credit get treated differently under current law. Specifically, families in Puerto Rico with one or two children don't get the full refundable portion of the credit (the part that can actually put money back in your pocket), but families with three or more children do. This creates an unfair gap where smaller families in Puerto Rico get less help than larger families, even though they're all struggling with the same costs of raising children.

This bill makes two key changes. First, it clarifies that Puerto Rico residents should be eligible for the refundable child tax credit just like mainland residents are. Second, it removes the requirement that families need three or more children to get the full benefit. Under this bill, Puerto Rican families with just one or two children would receive the same tax credit treatment as families with three or more children. The changes would take effect for tax years starting after December 31, 2020, meaning Puerto Rican families filing taxes for 2021 and beyond could potentially see increased refunds or reduced tax bills if the bill becomes law.

Child Tax Credit Equity for Puerto Rico Act

González-Colón, Jenniffer

Child Tax Credit Equity for Puerto Rico Act of 2019 This bill (1) allows residents of Puerto Rico to claim the refundable portion of the child tax credit on the same basis as U.S. taxpayers, and (2) allows such residents with one or two children to claim the refundable portion of the credit on the same basis as residents with three or more children.