The bill under consideration by the General Assembly addresses the need to support Rhode Island children and families, particularly in light of the hardships exacerbated by the pandemic. It acknowledges the positive impact of child tax credits on family wellbeing and notes that several states have implemented such credits. The bill proposes amendments to Section 44-30-2 of the General Laws, which involve updating the personal income tax rate schedules for various filing statuses to maintain the taxpayer's 1993 Rhode Island personal income tax liability in line with changes due to the Federal Omnibus Budget Reconciliation Act of 1993.

The bill introduces a new provision for a child tax credit within the Rhode Island tax code, offering a $1,000 credit per qualifying dependent child for households earning up to $100,000 (single-filer) or $150,000 (dual-filer). This credit is refundable if it exceeds the taxpayer's liability. Additionally, the bill details the historical personal income tax rates in Rhode Island, the treatment of federal income tax liability, and the allocation of funds for public electoral campaign financing. The bill is set to take effect upon passage, thereby incorporating the child tax credit into the state's personal income tax structure.

Statutes affected:
2575: 44-30-2