From Sacramento to Fontana, new anti-poverty tax credit has paid out, By Jim Miller, July 28, 2016, Sacramento Bee: “California’s new earned-income tax credit had put about $189 million in the pockets of the working poor as of earlier this month, well below the $380 million in claims the Brown administration and lawmakers had expected. Proponents, though, consider the program’s first year a success, and new data from the Franchise Tax Board show that taxpayers from around the state have claimed the credit…”
Tag: Earned income tax credit (EITC)
Low-Income Families and Taxes
- For nontraditional families, the tax code can be especially confusing, By Yuki Noguchi, April 7, 2016, National Public Radio: “The TV and a cellphone are playing videos, as Trevor Franklin tries to quiet a brood of kids in the living room of the apartment he shares with his fiancée in southeast Washington, D.C. ‘TJ is mine, and Malik and Morgan are my stepkids,’ Franklin says. A 14-year-old stepdaughter is on her way home from school, and his pregnant fiancée is on bed rest with a fifth child. The Census Bureau says about 41 percent of children are born to mothers who aren’t married, about five times the rate in the 1940s. But they aren’t all single parents. A growing percentage of babies born out of wedlock have parents who live together…”
- Philadelphia wants low-income residents to take tax credit, By Katie Colaneri, March 30, 2016, Marketplace: “Even before Tax Day, Philadelphia resident Roslyn Sanders is ahead of the game. She’s at her local community development corporation getting her taxes done and it’s the second time she’s come here. Sanders is back because last year, the organization helped her and her husband, Donald get a big refund by figuring out they qualified for the Earned Income Tax Credit, or EITC. She said they got a check in the mail for more than $3,000…”
- Editorial: Tax code should work for all low-income Americans, Editorial, April 5, 2016, Des Moines Register: “Conservatives have never met a tax cut they didn’t like. Liberals have never met a government handout they didn’t support. So Republicans and Democrats in U.S. Congress should be able to unite behind President Barack Obama’s proposal to expand the Earned Income Tax Credit. The EITC, created in 1975, is intended to provide additional dollars to low-income Americans and promote employment. To qualify, people must meet income and other requirements, as well as file a tax return. The credit increases as an individual’s income increases, thereby encouraging people to enter the workforce or work more. Because it is refundable, it puts money directly into people’s pockets to spend…”
Earned Income Tax Credit
Working poor bank on tax break in costly California, By Erica E. Phillips, April 6, 2015, Nasdaq.com: “For 30 years, Modesto Alejandro Vasquez has supported his family of four by working as a janitor in a downtown office building here. In 2014, he made about $30,000. Earning 25% above the federal poverty level in costly Southern California, Mr. Vasquez looks forward to this time of year, when a tax refund puts extra cash in his pocket. He said he used the money–$6,000 this year–to pay off debts and repair a computer for his daughter. A large portion of the refund came via the federal Earned Income Tax Credit. The EITC is intended to aid the working poor by reducing the amount of taxes owed, or in many cases, like Mr. Vasquez’s, by providing a refund, based on a taxpayer’s income and number of dependents. California lawmakers, responding to the state’s nation-leading poverty level, are considering the creation of a state EITC program…”