Senate Majority Leader Chuck Schumer (D-NY) on July 29 took a procedural step (filing cloture on the Motion to Proceed) toward consideration of the House-passed Tax Relief for American Families and Workers Act (H.R. 7024). A vote on the bill is now expected prior to the August recess, possibly on Thursday (August 1).

The bill, which was passed by the House on January 31, would expand the Child Tax Credit and the Low-Income Housing Tax Credit (LIHTC); address the TCJA pre-cliffs on IRC Section 174 five-year R&D amortization, 163(j) interest deductibility, and bonus depreciation; and provide disaster relief and tax treaty benefits with Taiwan.

The vote would be expected to fail, lacking GOP support to meet the 60-vote filibuster threshold that applies to most legislation, but could put Republicans on record against the bill (including Republican vice-presidential candidate Sen. J.D. Vance (R-OH) who recently stated that Democratic presidential candidate Vice President Kamala Harris is calling for an end to the child tax credit). Some Democratic Senators up for re-election this year, including Sherrod Brown (D-OH), have strongly advocated for the CTC expansion.