H.R. 1308: Family Income Supplemental Credit Act

This bill, known as the Family Income Supplemental Credit Act (FISC Act), aims to provide financial assistance to eligible pregnant women and caregivers of eligible children through monthly payments. Here are the key components of the bill:

Eligibility and Applications

• Pregnant Women: A pregnant woman can apply for monthly payments related to her pregnancy.
• Caregivers: A caregiver of an eligible child can also apply for monthly payments for that child.
• Application Details: Applications must include personal details, the expected due date of pregnancy, income information, and marital status.

Definitions

• Eligible Child: An eligible child is under 18 years old, has not provided more than half of their own financial support in the last taxable year, and is a U.S. citizen or permanent resident.
• Qualified Caregiver: This is someone over 18 years of age who lives with the child and provides economic support.

Payment Structure

• Monthly Payments:
  • $800 per month for a pregnant woman.
  • $400 per month for each eligible child under 6 years old.
  • $250 per month for each eligible child aged 6 years or older.
• Marriage Bonus: The payment amount increases by 20% if the beneficiary is married.
• Phase-out Threshold: Payments decrease by $16.67 for every $1,000 an individual's income exceeds $125,000 (or $250,000 for a married couple filing jointly).
• Payment Limitations: The total monthly payment cannot exceed 1/12 of the beneficiary's adjusted gross income for the previous year.

Continuation of Benefits

For New Parents: Following the birth of a child, the benefit for the mother may convert to a benefit for the child, provided a caregiver applies within 90 days after birth.

Administrative Provisions

• Bureau of Family Statistics: A new bureau will be created within the Social Security Administration to facilitate data collection necessary for the administration of this program.
• Regulatory Authority: The Commissioner of Social Security is tasked with creating regulations and a reporting system to manage changes in applicant or beneficiary status.
• Annual Reports: The Commissioner must submit annual reports to Congress regarding the program's activities, including application processing times and total expenditures.

Repeal of Child Tax Credit

The bill also proposes to repeal the existing child tax credit under the Internal Revenue Code, which is intended to simplify the tax system regarding benefits for families with children.

Effective Date

The provisions of the bill would take effect one year after its enactment.

Funding

The bill includes a provision for appropriations as necessary to fund the monthly payments and administrative costs associated with implementing this program.

Relevant Companies

None found.