The District has long been known for having large numbers of Black children living in poverty and the city must take steps to address this problem.
DC Kids Count reports that approximately 21,000 District children lived in families with incomes below the poverty line in 2022 — down from 29,000 in 2012, but a high number, nonetheless. Roughly nine out of 10 children living in poverty in the District are Black, the organization reports.
There is a racial poverty disparity in the city, with nearly 40% of the young people in the predominantly Black Wards 7 and 8 classified as poor, while in the majority White Ward 3 it is just 2%. Child poverty in the District, at 22.8%, is higher than the national figure of 17%.
One of the tools used to fight child poverty on the national level was the child tax credit. The child tax credit, as a part of the Biden administration’s “American Rescue Plan,” has been credited for helping families financially during the economic slump that occurred during the more active phases of the coronavirus pandemic a few years ago. The national child tax credit helped reduce youth poverty to the lowest level on record; decreased food insufficiency; increased families ability to meet basic needs; and had no discernable negative effects on parents getting jobs. While the national child tax credit’s fate lies in the balance due to congressional inaction, that need not be the case in the District.
D.C. Council member Zachary Parker (D-Ward 5) has a bill that would implement a child tax credit in the city on a permanent basis. The D.C. Council should pass this bill.
Parker’s legislation would have the tax credit go into effect at the beginning of tax year 2026. It would provide a refundable credit up to $500 a year (for three children) to low-and-middle income individuals making less than $120,000 and joint filers earning less than $175,000.
There is a gradual phasedown of the tax credit for individuals starting at $100,000 and $145,000 for joint filers.
With statistics, the council needs to get serious about tackling child poverty in the city and Parker’s bill is a good first step.