According to a report on Sunday, the Democrats will introduce legislation that could provide $3,600 per year for families that have children under the age of six. This is a part of the $1.9 trillion coronavirus relief package proposed by President Biden.
The Washington Post said that it has obtained the 22 page bill that will be introduced on Monday. The bill says that families with children under the age of six will receive $3,600 per child from the IRS while those with older children could receive $3000. The amounts would be disbursed depending on families’ earnings last year.
Due to the pandemic last year millions of Americans lost their jobs and many middle class families who had never received aid or food from the state or federal government, stood in lines in food banks and from other charitable organizations. Job losses were also at an all time high and many small and medium businesses had to shut down.
Under the House’s plan, put forth by the Democrats, the amount would be broken up and given monthly rather than as a lump sum payment of $3,600 at one go. The payments would be made to individual parents who earn $75,000 a year or couples who earn $150,000 per year.
The Democrats are passing the budget using a procedure called “reconciliation” as it did not get the approval numbers from Republicans in the Senate.
The legislation is expected to allocate $160 billion for vaccinations across the nation, to tackle the coronavirus pandemic. It will also provide unemployment benefits to $400 a week through September. There is likely to be a third stimulus check of $1400.
While the Democrats say that these are much needed steps to raise the average American out of poverty and give a head start to reviving the economy Republicans say that it will add to the nation’s huge deficit which was $3.1 trillion in the fiscal year 2020.
Some Democrats believe that they have inherited the deficit from the previous administration of Republican government and they have to revive the economy with bold stimulus packages while other Republicans believe that smaller packages should be offered as the economy is already facing huge deficits.
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