Republican Senate Blocks Bipartisan Bill to Boost Child Tax Credit as Partisan Feud Escalates

ICARO Media Group
Politics
01/08/2024 19h26

In a contentious vote on Thursday, Senate Republicans blocked a bipartisan bill that aimed to enhance the tax credit for parents. The bill, co-authored by Senator Ron Wyden (D-Ore.) and Representative Jason Smith (R-Mo.), sought to raise the child tax credit (CTC), eliminate the fraud-ridden Employee Retention Tax Credit (ERTC) program, and reinstate various tax credits for businesses. However, the bill fell short of the 60 votes required to proceed.

With a 48-44 vote, the bill failed to overcome the initial hurdle, receiving support from only three Republican senators: Josh Hawley (Mo.), Rick Scott (Fla.), and Markwayne Mullin (Okla.). Notably, Republican Vice Presidential nominee Senator JD Vance (Ohio) was among the senators who missed the vote.

The Wyden-Smith bill had gained substantial bipartisan support in the House earlier this year, but its progress stalled in the Senate. Republicans feared that its passage could provide a significant advantage to Democrats ahead of the upcoming election. One major point of contention raised by Senate Republicans was the perceived lack of stringent work requirements for CTC recipients.

However, the landscape shifted when Vance made controversial remarks dismissing Democratic leaders as "childless cat ladies." Democrats seized on this opportunity to turn the argument against the Republicans and put the CTC expansion up for a vote. Senate Majority Leader Chuck Schumer (D-N.Y.) moved the bill for a vote before the Senate adjourned last week.

Schumer, who initially voted in favor of the measure, switched to opposition as a procedural move to call another vote on the bill. Senator Wyden, Chair of the Senate Finance Committee, expressed frustration at the Republicans' stance, highlighting their failure to align their rhetoric with their actions. He accused Republicans of lacking support for families and children in their policy decisions.

In response, Senator Mike Crapo (Idaho), the top Republican on the Finance Committee, claimed that Democrats had been well aware of their concerns about the bill for months but made no effort to find common ground. Crapo asserted that Democrats were using certain business deductions as a "cynical" political ploy, holding them "hostage."

Political implications and optics seemed to outweigh policy discussions in Thursday's vote, especially in light of Vance's controversial comments. Analysts suggest that the bill's failure could potentially be utilized by Democrats in campaign advertisements, painting Republicans as unsupportive of families and children.

The bill's passage would have served as a significant victory for Democrats, granting them leverage for future negotiations. Republicans, however, remained skeptical of the bill due to concerns about work requirements and potential access to the tax credit by non-Americans.

The failure to advance the bill did not go unnoticed on the Senate floor. Senator Raphael Warnock (D-Ga.) used the opportunity to question Republican colleagues on their commitment to tax relief for ordinary people, emphasizing the discrepancy between rhetoric and actions.

As the partisan feud intensifies, it remains to be seen whether any consensus can be achieved on boosting the child tax credit and providing relief to parents. The battle lines have been drawn, and both sides will continue to use this issue as ammunition in their campaigns and policy negotiations going forward.

The views expressed in this article do not reflect the opinion of ICARO, or any of its affiliates.

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