The Senate is considering larger tax breaks for middle class families dealing with the financial stresses of caring for newborn babies and aging parents.

Angela Dominguez, of Crown Point, said Wednesday such a proposal that would give her an extra $1,000 once her third child is born this fall. "It's the kind of helping hand for families like ours that will help us keep our dreams alive," she said.

Dominguez, a Gary teacher, and her husband welcomed U.S. Sen. Evan Bayh, D-Ind., at the Gary Chicago International Airport during his state tour to discuss the relief package

Bayh is co-sponsor of a bill to double the child tax credit to $2,000 for a child's first year, which would benefit an estimated 74,000 Indiana families expected to give birth next year.

"I'd like to thank Senator Bayh," Dominguez said. Bayh thanked her for "putting a human face on this issue."

Bayh said he also supports increasing the number of families who can deduct as much as 35 percent of their child care costs from their income taxes.

At present the 35 percent deduction is reduced after the family's income exceeds $43,000. He would extend the 35 percent benefit to families with as much income as $100,000. He said more than 50,000 additional Hoosier families would benefit.

Bayh's bill also expands the elder tax credit that now applies only if the parent dependant lives with an adult child. The legislation would allow the credit even if elder parents live in their home or assisted-living centers.

Bayh said the tax breaks would cost the government $20 billion in lost revenue over a four-year period, but he said Congress could help pay for it by closing tax loopholes for big business.

It is Bayh's second visit to Lake County in a month to promote what he calls "tax breaks with a heart." Last month he was promoting legislation to make permanent the federal tax deduction families can take for a child's college tuition.