The House of Representatives unanimous approved their version of the Administration’s bill allowing Treasury to distribute the Advance Tax Credit using funds provided under the American Rescue Plan Act of 2021.

The vote was 15-0.

After the bill was read out in chamber by the House Deputy Secretary, House Ways and Means Committee chairman, Rep. Lavea Fatulegaee P. Mauga made a motion for the bill to be approved. He told representatives that this is a very important bill for American Samoa where taxpayers with children will receive a huge amount of money from the Federal government to help out with their family.

He also stated that the Fono needs to act very quickly in approving this piece of legislation before the time to use these funds expire.

Representatives agreed that they need to pass this bill quickly so that the benefits can be made available to families with children.

Vice Speaker of the House, Fetui Fetu Jr seconded the motion and stated that Fono leaders must assist all children of the territory by approving this bill. His only objection to the bill was the way the Tax Office and the Treasury Department distribute the checks

According to Fetui, he wanted the whole amount to distributed to the taxpayer at one time instead of divided the into four difference checks.

Tax Office Manager Tagoa’i Vaaimamao Poufa testified before the House Ways and Means committee this week saying half of the tax would be paid in September and December while the balance will be paid next year. So a 17 year old will receive a $750 check in September and another $750 check in December.

Tagoai said they have yet to decide how next years child tax payments will be distributed.

Treasury is looking at disbursing the first installment of the Advance Child Tax Credit checks made available under the American Rescue Plan Act by the end of September.

For 17 year olds and under the total entitlement is $3000 while 5 yr olds and under get $3,600.

The Tax Office Manager and Deputy Treasurer Levi Reese were testifying at a House hearing yesterday on the bill which amends the tax law in order to authorize the child tax benefits from ARPA.

According to Tagoa’i, American Samoa is receiving an estimated $33 million under the ARPA.

Responding to a question on whether children born outside the territory can qualify, Tagoa’i said ARPA provides that only those with Social Security numbers qualify for the Child Tax credits. He said it is very difficult to apply for a SSN for a person that’s not born here.