Introduced
by
To increase the state Earned Income Tax Credit, which under current statute is 10 percent of the federal EITC. The bill would double this amount. The EITC is a “refundable” tax credit (or “reverse income tax”) for low income workers, in which the government sends the “taxpayer” a check for the amount the credit exceeds any income tax liability. Past estimates suggest an the increase would cause around $300 million to be redistributed to low income working families each year, vs. around half that under current law.
Referred to the Committee on Tax Policy
