Resident Commissioner Introduces Legislation Providing Puerto Rico Families with Expanded Federal Child Tax Credit

WASHINGTON, D.C. – Congressman Pablo José Hernández, Resident Commissioner of Puerto Rico, introduced the Child Tax Credit Relief for Puerto Rican Families Act – legislation that would expand the Child Tax Credit for Puerto Rican families. This tax credit would tremendously benefit Puerto Rican families as a way to fight poverty but also empower families to thrive and get ahead.

“I am proud to introduce this bill to expand the child tax credit and support Puerto Rico’s working families. This legislation represents an important step for Puerto Rico’s economic development, focusing on our families so they can move forward, build a prosperous future on our island,” said Hernández.

Historically, Puerto Rican families faced significant limitations in accessing the federal Child Tax Credit (CTC). For the first time in 2021, Congress passed legislation to ensure all eligible families could benefit from the credit, regardless of the number of qualifying children, and increasing the credit amount and making it fully refundable. However, if Congress does not take action, the CTC benefit will revert from $2,000 to $1,000 at the end of 2025

Laser-focused on Puerto Rico’s economic development and expanding opportunities for Puerto Rican working families, the Resident Commissioner introduced this legislation to provide equitable treatment for the residents of Puerto Rico with respect to the refundable portion of the child tax credit.

The Child Tax Credit has already made a significant impact in Puerto Rico—reducing child poverty from 55 percent to 39 percent, as reported by the Youth Development Institute of Puerto Rico. In 2023, 223,000 Puerto Rican families benefited from this crucial program, according to IRS data. Currently, the different child tax credit calculation rates (7.65% vs. 15%) mean that families of Puerto Rico generally gets less money and have to earn double to get the same benefit amount.

Resident Commissioner’s Child Tax Credit Relief for Puerto Rican Families Act would double the benefit amount to ensure Puerto Rico families receive the maximum child tax credit benefit. No family should struggle to meet basic necessities, either in the continental U.S. or in Puerto Rico.

Click HERE to read the bill text.

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