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U.S. Senator Joni Ernst (R-IA) is supporting bipartisan legislation that would allow parents with a newborn child to claim an additional $500 in direct financial assistance provided through the CARES Act right away instead of waiting until they receive their tax return next year.

“For new parents, this pandemic has brought unforeseen challenges at such an important time in their lives,” said Senator Joni Ernst. “The COVID-19 relief legislation we passed earlier this year was designed in part to help these families, and it’s critical they get assistance now—not a year from now. This bipartisan legislation will make that simple fix to ensure Iowa families get this vital support right away.”

The CARES Act included $1,200 economic impact payments for qualifying taxpayers, with a $500 boost for each qualifying child. Unfortunately, parents with children born in calendar year 2020 cannot receive the $500 boost until filing their taxes in 2021. The Newborn CARES Act would simply allow these families to receive that payment now, rather than waiting until next year, and the proposal would be cost-neutral.

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Author: Press Release