Payam Javan: The House passed the Tax Relief for American Families and Workers Act of 2024 on January 31, with a 357-70 vote, providing $78 billion in tax relief for families with children and small businesses.

The bipartisan bill, negotiated by Senate Finance Committee Chairman Ron Wyden and House Ways and Means Committee Chairman Jason Smith, allows families to deduct $1,800 per child on their taxes for the 2023 tax year, with incremental increases until 2025.

Some criticized the child tax credit expansion, while others praised the relief for families and businesses.

The bill also addresses issues related to research and development deductions, provides immediate relief for U.S. and Taiwan investments, aids areas affected by natural disasters, and includes a state housing credit for low-income families.

Republican members sought to increase the State and Local Tax deduction, causing a temporary disruption, but eventually allowing the vote to succeed. The bill is expected to be taken up by the Senate and signed into law by President Joe Biden.