,,ii  #aadth ,,congress  #ast ,session  
,s4 #bbfd  ,,in ,,the ,,senate ,,of     
,,the ,,united ,,states  ,november #aj1 
#bjae ,mr4 ,bennet introduced the       
following bill2 which was read twice and
 referred to the ,committee on ,finance 
,a ,,bill  ,to amend the ,internal      
,revenue ,code of #aihf to strengthen   
the child tax credit4  #a4 ,short title 
,this ,act may be cited as the ,child   
,tax ,credit ,improvement ,act4  #b4    
,expansion of the child tax credit  7a7 
,increase in amount of credit for young 
children ,subsection 7a7 of section #bd 
of the ,internal ,revenue ,code of #aihf
 is amended to read as follows3  7a7    
,allowance of credit ,there shall be    
allowed as a credit against the tax     
imposed by this chapter for the taxable 
year an amount equal to the sum of--    
7#a7 with respect to each qualifying    
child of the taxpayer who has attained  
#f years of age by the close of the     
taxable year and for which the taxpayer 
is allowed a deduction under section    

#aea1 #a1jjj1 and  7#b7 with respect to 
each qualifying child of the taxpayer   
who has not attained #f years of age by 
the close of the taxable year and for   
which the taxpayer is allowed a         
deduction under section #aea1 an amount 
equal to three times the dollar amount  
applicable under paragraph 7#a74  4  7b7
 ,modification of limitations ,paragraph
 7#a7 of section #bd7;b7 of the         
,internal ,revenue ,code of #aihf is    
amended to read as follows3  7#a7       
,limitation based on adjusted gross     
income  7,a7 ,in general  7i7           
,limitation on credit for qualifying    
children who have not attained #f years 
of age ,the amount of the credit        
allowable under subsection 7a77#b7 shall
 be reduced 7but not below zero7 by #aej
 for each #a1jjj 7or fraction thereof7  
by which the taxpayer's modified        
adjusted gross income exceeds the       
threshold amount4  7ii7 ,limitation on  
credit for qualifying children who have 
attained #f years of age ,the amount of 

the credit allowable under subsection   
7a77#a7 shall be reduced 7but not below 
zero7 by #ej for each #a1jjj 7or        
fraction thereof7 by which the          
taxpayer's modified adjusted gross      
income exceeds--  7,i7 in the case of a 
taxpayer for which no credit is         
allowable under subsection 7a77#b71 the 
threshold amount1 or  7,,ii7 in the case
 of a taxpayer for which a credit is    
allowable under subsection 7a77#b71 the 
dollar amount of the modified adjusted  
gross income of the taxpayer at which   
the credit allowable under subsection   
7a77#b7 is reduced to zero4  7,b7       
,definition ,for purposes of this       
paragraph1 the term modified adjusted   
gross income means adjusted gross income
 increased by any amount excluded from  
gross income under section #iaa1 #ica1  
or #icc4  4  7c7 ,increase in refundable
 portion  7#a7 ,in general ,clause 7i7  
of section #bd7;d77#a77;,b7 of the      
,internal ,revenue ,code of #aihf is    
amended to read as follows3  7i7 an     

amount equal to-- 7,i7 in the case of a 
taxpayer for which a credit is allowable
 under subsection 7a77#b71 #de percent  
of the taxpayer's earned income 7within 
the meaning of section #cb7 which is    
taken into account in computing taxable 
income for the taxable year1 or  7,,ii7 
in the case of a taxpayer for which a   
credit is allowable under subsection    
7a77#a7 and for which no credit is      
allowable under subsection 7a77#b71 #ae 
percent of the taxpayer's earned income 
7within the meaning of section #cb7     
which is taken into account in computing
 taxable income for the taxable year1 or
  4  7#b7 ,conforming amendment         
,subsection 7d7 of section #bd of such  
,code is amended by striking paragraph  
7#d74  7#c7 ,elimination of inflation   
adjustment ,subsection 7d7 of section   
#bd of such ,code is amended by striking
 paragraph 7#c74  7d7 ,inflation        
adjustments ,section #bd of the         
,internal ,revenue ,code of #aihf is    
amended by adding at the end the        

following new subsection3  7g7          
,inflation adjustments  7#a7 ,in general
 ,in the case of any taxable year       
beginning in a calendar year after      
#bjae1 the #a1jjj amount in subsection  
7a77#a7 shall be increased by an amount 
equal to--  7,a7 such dollar amount1    
multiplied by  7,b7 the cost-of-living  
adjustment determined under section     
#a7;f77#c7 for the calendar year in     
which the taxable year begins1          
determined by substituting calendar year
 #bjad for calendar year #aiib in       
subparagraph 7,b7 thereof4  7#b7        
,rounding ,any increase determined under
 the preceding sentence shall be rounded
 to the nearest multiple of #ej4  4  7e7
 ,effective date ,the amendments made by
 this section shall apply to taxable    
years beginning after ,december #ca1    
#bjae4