Tax Breaks

In particular, child tax credits and their proposed expansion, but the principle below applies across the board.

…pair the expansion of the child tax credit with extensions of expiring business-tax provisions, some of which have Democratic support.

Pairing in order to get the credit passed, one being a bell for the other’s whistle.  Refundable credits, too, so those who don’t pay much, if any, income tax can get their own taste. Here’s Progressive-Democratic Party Presidential candidate Joe Biden’s offer on the credit:

…a temporary expansion of the child tax credit that would bump the $2,000-per-child credit to $3,000 for most children and to $3,600 for those under age 6. He would expand the credit to include 17-year-olds and allow monthly payments, so families wouldn’t need to wait for lump sums at tax-filing time.
Mr Biden’s proposal would cost more than $100 billion a year.

Leave aside the fact that refundability is spending increase, not taxing cut.

Here’s a better idea: lower income tax rates (permanently) across the board, for both businesses and individuals.

Leaving all that money in the private economy, which is to say in the hands of the businesses and individuals who are earning the money, pays far more benefits far more quickly, running from the folks more efficiently spending their money than can any government spend it for them through businesses having more—again, of their own—money for capital improvement, product/service development, R&D, wages, hiring.

All that increased economic activity—real activity, not the fiction of government spending as economic activity—is what will help families with children. And if Government—or rather the politicians populating Government—take the additional step of not singling out particularly favored groups of Americans for special treatment, that increased economic activity will particularly help minority families, who are the ones most needful of access to that increasing prosperity.

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