by this chapter for the taxable year the sum of the monthly specified child allowances determined with respect to the taxpayer under subsection (b) for each calendar month during such taxable year. (b) Monthly specified child allowance (1) In general For purposes of this section, the term monthly specified child allowance means, with respect to any taxpayer for any calendar month, the sum of— (A) $300, with respect to each specified child of such taxpayer who will (as of the close of such month) have attained age 6, plus (B) $350, with respect to each specified child of such taxpayer who will not (as of the close of such month) have attained age 6. (2) Limitations based on modified adjusted gross income (A) Initial reduction The monthly specified child allowance otherwise determined under paragraph (1) with respect to any taxpayer for any calendar month shall be reduced (but not below zero) by 1/12 of 5 percent of the excess (if any) of the taxpayer’s modified adjusted gross income for the applicable taxable year over the initial threshold amount in effect for such applicable taxable year. (B) Limitation on initial reduction In the case of any calendar month beginning before January 1, 2026, the amount of the reduction under subparagraph (A) shall not exceed the lesser of— (i) the excess (if any) of— (I) the monthly specified child allowance with respect to the taxpayer for such calendar month (determined without regard to this paragraph), over (II) the amount which would be determined under subclause (I) if the dollar amounts in effect under subparagraphs (A) and (B) of paragraph (1) were each equal to $166.67, or (ii) 1/12 of 5 percent of the excess of the secondary threshold amount over the initial threshold amount. (C) Secondary reduction In the case of any calendar month beginning before January 1, 2026, the monthly specified child allowance otherwise determined under paragraph (1) with respect to any taxpayer for such calendar month (determined after the application of subparagraphs (A) and (B)) shall be