District Child Tax Credit

changelog_entry.yaml

@@ -0,0 +1,4 @@
+- bump: minor
+  changes:
+    added:
+    - DC Child Tax Credit.

policyengine_us/parameters/gov/states/dc/tax/income/credits/ctc/README.md

@@ -0,0 +1 @@
+# Child Tax Credit.

policyengine_us/parameters/gov/contrib/states/dc/ctc/amount.yaml → policyengine_us/parameters/gov/states/dc/tax/income/credits/ctc/amount.yaml

@@ -1,15 +1,16 @@
 description: DC provides a Child Tax Credit of this amount per eligible child.
-values:
-  2025-01-01: 420
 metadata:
+  unit: currency-USD
+  label: DC Child Tax Credit amount
   period: year
   uprating:
     parameter: gov.irs.uprating
     rounding:
       type: downwards
       interval: 5
-  unit: currency-USD
-  label: DC Child Tax Credit amount
   reference:
-    - title: District Child Tax Credit Amendment Act of 2023 Ҥ 47-1806.17. Child Tax Credit. (a)(1) 
-      href: https://lims.dccouncil.gov/downloads/LIMS/55181/Other/B25-0784-FIS_Fiscal_Year_2025_Budget_Support_Act_of_2024_Second_Reading.pdf#page=98
+    - title: Code of the District of Columbia § 47-1806.17(b)(1)(A)
+      href: https://code.dccouncil.gov/us/dc/council/code/sections/47-1806.17#(b)(1)
+
+values:
+  2025-01-01: 420

policyengine_us/parameters/gov/states/dc/tax/income/credits/ctc/child/age_threshold.yaml

@@ -0,0 +1,11 @@
+description: DC provides a Child Tax Credit amount for children below this age.
+metadata:
+  unit: age
+  label: DC Child Tax Credit child age threshold
+  period: year
+  reference:
+    - title: Code of the District of Columbia § 47-1806.17(b)(1)(B)
+      href: https://code.dccouncil.gov/us/dc/council/code/sections/47-1806.17#(b)(1)
+
+values:
+  2025-01-01: 6

policyengine_us/parameters/gov/states/dc/tax/income/credits/ctc/child/child_cap.yaml

@@ -0,0 +1,10 @@
+description: DC limits the number of eligible children for the Child Tax Credit to this number. 
+values:
+  2025-01-01: 3
+metadata:
+  period: year
+  unit: child
+  label: DC Child Tax Credit child cap
+  reference:
+    - title: Code of the District of Columbia § 47–1806.17(b)(2)
+      href: https://code.dccouncil.gov/us/dc/council/code/sections/47-1806.17##(b)(2)

policyengine_us/parameters/gov/states/dc/tax/income/credits/ctc/income_threshold.yaml

@@ -0,0 +1,56 @@
+description: DC limits its Child Tax Credit to filers with taxable income below the following amount, based on filing status. 
+metadata:
+  label: DC Child Tax Credit taxable income threshold
+  unit: currency_USD
+  period: year
+  breakdown:
+    - filing_status
+  reference:
+    - title: Code of the District of Columbia § 47-1806.17(e)(5)
+      href: https://code.dccouncil.gov/us/dc/council/code/sections/47-1806.17#(e)(5)
+
+SINGLE:
+  values:
+    2025-01-01: 160_000
+  metadata:
+    uprating:
+      parameter: gov.irs.uprating
+      rounding:
+        type: downwards
+        interval: 100
+JOINT:
+  values:
+    2025-01-01: 240_000
+  metadata:
+    uprating:
+      parameter: gov.irs.uprating
+      rounding:
+        type: downwards
+        interval: 100
+SEPARATE:
+  values:
+    2025-01-01: 120_000
+  metadata:
+    uprating:
+      parameter: gov.irs.uprating
+      rounding:
+        type: downwards
+        interval: 100
+HEAD_OF_HOUSEHOLD:
+  values:
+    2025-01-01: 160_000
+  metadata:
+    uprating:
+      parameter: gov.irs.uprating
+      rounding:
+        type: downwards
+        interval: 100
+SURVIVING_SPOUSE:
+  values:
+    2025-01-01: 160_000
+  metadata:
+    uprating:
+      parameter: gov.irs.uprating
+      rounding:
+        type: downwards
+        interval: 100

policyengine_us/parameters/gov/states/dc/tax/income/credits/ctc/phase_out/amount.yaml

@@ -0,0 +1,10 @@
+description: DC reduces the Child Tax Credit by this amount for each increment by which one's income exceeds the phase-out thresholds.
+values:
+  2025-01-01: 20
+metadata:
+  unit: currency-USD
+  label: DC Child Tax Credit phase-out amount
+  period: year
+  reference:
+    - title: Code of the District of Columbia § 47–1806.17(b)(2)
+      href: https://code.dccouncil.gov/us/dc/council/code/sections/47-1806.17##(b)(2)

policyengine_us/parameters/gov/states/dc/tax/income/credits/ctc/phase_out/increment.yaml

@@ -0,0 +1,10 @@
+description: DC reduces the Child Tax Credit by a certain amount for each of this increment by which one's income exceeds the phase-out thresholds. 
+values:
+  2025-01-01: 1_000
+metadata:
+  unit: currency-USD
+  label: DC Child Tax Credit phase-out increment 
+  period: year
+  reference:
+    - title: Code of the District of Columbia § 47–1806.17(b)(2)
+      href: https://code.dccouncil.gov/us/dc/council/code/sections/47-1806.17#(b)(2)

policyengine_us/parameters/gov/states/dc/tax/income/credits/refundable.yaml

@@ -15,3 +15,9 @@ values:
     - dc_eitc  # DC earned income tax credit
     - dc_ptc  # DC property tax credit
     - dc_kccatc  # DC keep child care affordable tax credit
+
+  2025-01-01:
+    - dc_eitc  # DC earned income tax credit
+    - dc_ptc  # DC property tax credit
+    - dc_kccatc  # DC keep child care affordable tax credit
+    - dc_ctc # DC child tax credit

policyengine_us/reforms/reforms.py

@@ -20,9 +20,6 @@
 from .biden.budget_2025 import create_capital_gains_tax_increase_reform
 from .eitc import create_halve_joint_eitc_phase_out_rate_reform
 from .states.ny.wftc import create_ny_working_families_tax_credit_reform
-from .states.dc.dc_ctc import (
-    create_dc_ctc_reform,
-)
 from .harris.lift.middle_class_tax_credit import (
     create_middle_class_tax_credit_reform,
 )
@@ -99,8 +96,6 @@ def create_structural_reforms_from_parameters(parameters, period):
     )
     ny_wftc = create_ny_working_families_tax_credit_reform(parameters, period)
 
-    dc_ctc = create_dc_ctc_reform(parameters, period)
-
     middle_class_tax_credit = create_middle_class_tax_credit_reform(
         parameters, period
     )
@@ -147,7 +142,6 @@ def create_structural_reforms_from_parameters(parameters, period):
         capital_gains_tax_increase,
         halve_joint_eitc_phase_out_rate,
         ny_wftc,
-        dc_ctc,
         middle_class_tax_credit,
         rent_relief_tax_credit,
         end_child_poverty_act,

policyengine_us/tests/policy/baseline/gov/states/dc/tax/income/ctc/dc_ctc.yaml

@@ -0,0 +1,19 @@
+- name: Case 1, no phase_out, single filer with 2 qualifying children.
+  period: 2025
+  input:
+    adjusted_gross_income: 120_000
+    filing_status: SINGLE
+    dc_ctc_capped_children: 2
+    state_code: DC
+  output:
+    dc_ctc: 840
+
+- name: Case 2, income above income threshold, single filer with 2 qualifying children.
+  period: 2025
+  input:
+    adjusted_gross_income: 162_000
+    filing_status: SINGLE
+    dc_ctc_capped_children: 2
+    state_code: DC
+  output:
+    dc_ctc: 800