Democrats are putting their ideas for another round of stimulus checks and new support for parents into legislative text that House Ways and Means Chair Richard Neal (D-Mass.) unveiled Monday.
Most U.S. households would receive $1,400 per person under the legislation, though for this third round of checks, Democrats are cutting off higher-income households.
“Our nation is struggling, the virus is still not contained, and the American people are counting on Congress to meet this moment with bold, immediate action,” Neal said in a statement. “From increasing direct assistance to those who need it most to expanding tax credits for low- and middle-income workers, we deliver substantial solutions in this package.”
In a win for progressives, the proposal retains the previous income threshold below which Americans would qualify for the full payment: individuals earning $75,000 or less (and all joint filers earning $150,000 or less). Republicans and some moderate Democrats had sought to lower those thresholds in recent weeks, spurring backlash from some lawmakers to reported changes.
The plan does, however, cut off individuals with incomes above $100,000 and couples with combined incomes above $200,000 from being eligible for direct payments. The changes appear to have been made in part due to concerns expressed by the White House about higher-earning Americans receiving direct payments.
It’s unclear whether Senate Democrats will keep the exact same structure for direct payments in their draft of legislation containing the next round of coronavirus relief. Both chambers are tasked with writing separate legislation under special budget rules that will allow Democrats to pass the package via a simple majority vote. The goal is to merge the two bills and send the final product to President Joe Biden’s desk by March.
This is a developing story. Please check back for updates.
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