To download a complete copy of HR-1319, the American Rescue Plan Act, please CLICK HERE
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Direct Payments. Provides $1,400 in direct payments to individuals making less than $75,000 and married couples making under $150,000, and for dependents claimed on federal tax returns. 3,691,546 New Jersey households are eligible at an average $2,605 per household.
Child Tax Credit. Reduces child poverty by expanding the child tax credit through 2021, increasing the maximum credit to $3,600 for each child younger than 6 and $3,000 for other children, and making the credit fully refundable. 82% of New Jersey children are now eligible for the CTC under this expansion.
Child Care. Expands the Child and Dependent Care Tax Credit to $4,000 per child or $8,000 for two or more children, and makes the credit fully refundable. Provides $39 billion for child care, including $15 billion in grants to states to help low-income families afford child care and help essential workers regardless of their income and $24 billion for state grants to child care providers. New Jersey will receive $697 million to help families pay child-care costs, plus $16 million for Head Start.
Earned Income Tax Credit. Expands the earned income tax credit for taxpayers without children for 2021 by increasing both the credit percentage and phaseout thresholds.
Housing. Provides $21.6 billion for emergency rental assistance to prevent evictions and $10 billion to help homeowners avoid foreclosure; $5 billion for emergency public housing vouchers; and $5 billion to address homelessness. Of that, $466 million is coming to New Jersey.
Utilities. New Jersey LIHEAP for low-income families’ energy costs will receive $158.6 million.
Unemployment Benefits. Extends pandemic-related unemployment assistance that was set to expire on March 14, including the current $300 supplement to unemployment benefits (called “Pandemic Unemployment Compensation”), for another six months through Sept. 6. Provides that the first $10,200 of unemployment benefits received by taxpayers making less than $150,000 will not be subject to federal taxation. 268,000 New Jerseyans’ federal UI benefits were due to expire by mid-March.
Relief for State and Local Governments. Provides $350 billion in aid to state, local, tribal and territorial governments to help deal with the budgetary impact of the pandemic, including $195.3 billion for states and Washington, D.C.; $130.2 billion for local governments; $20 billion for tribal governments; and $4.5 billion for U.S. territories. $10.2 billion from the stimulus will flow into the Garden State.
Public Health. Provides $48.3 billion for testing, contact tracing and personal protective equipment (PPE); $7.5 billion for vaccine distribution; and $5.2 billion for procurement of vaccines and supplies. Provides $10 billion to expand domestic production of PPE, vaccines and medical supplies under the Defense Production Act.
COVID Treatment. Ensures veterans will not have any copays or cost-sharing for preventive treatment or services related to COVID-19 going back to April 2020 and authorizes the VA to reimburse those veterans who already submitted payments for their care during this period.