Center on Budget and Policy Priorities. November 2021. As Congressional leaders continue to grapple over permanently extending tax credits for working families, the future of those most likely to benefit from the financial relief, including military families, hangs in the balance. A recent report by the Center on Budget and Policy Priorities (CBPP) reveals that nearly 5 million children within veteran or active-duty families will be impacted should the expanded Child Tax Credit (CTC) discontinue at the end of this year. Under the American Rescue Plan, the temporary expansion of the CTC aims to reduce child poverty while providing some financial relief to families facing challenges during the COVID-19 pandemic. A critical portion of the provision enables children in families with low or no earnings in the year to receive full credit for the first time. This includes 1 million children in veteran or active-duty households.