News Round Up: April 10, 2023
Top Story: New Mexico Governor Michelle Lujan Grisham (D) has included an expanded Child Tax Credit (CTC) as part of a tax provisions package. The expansion will provide up to $600 per child for approximately 214,000 families. (Office of Governor Michelle Lujan Grisham)
- The Delaware House approved House Bill 89, which proposes to increase the state’s refundable Earned Income Tax Credit (EITC) to 7.5% of the federal rate. The bill will now proceed to the Senate for consideration. (Delaware Business Now)
- The Hawai’i Senate’s Ways and Means committee endorsed a new version of House Bill 1409, which proposes to expand the state’s EITC from 20% to 40% of the federal rate. Also, the bill seeks to raise the state’s Child and Dependent Care Tax Credit (CDCTC) value from $2,400 to $10,000 for one child or dependent. (Hawai’i Public Radio)
- Iowa House Democrats proposed expanding the state CDCTC to cover families who make under $250,000. (Iowa Capital Dispatch)
- Members of Congress introduced the End Child Poverty Act, which would replace the federal CTC and the child provisions in the federal EITC. The proposal would amount to a monthly payment of $393 per child. (Office of Representative Ilhan Omar)
- The Vermont Senate recently voted to repeal the new state CTC to fund early childcare and education. Public Assets Institute argues that taking away the tax credit would be regressive and that having both a state CTC and high-quality early childcare and education are critical to the well-being of Vermont families. (VermontBiz)
- The Center on Budget and Policy Priorities (CBPP) recommended reforms to President Biden’s budget proposal that would improve the tax system and prioritize funding key national priorities such as an expanded federal CTC. (Center on Budgets and Policy Priorities)
- The Economic Opportunity Funders and the EITC Funders Network released a year-in-review 2022 report summarizing the contributions of four pooled funds focused on promoting, protecting, and expanding the federal and state EITCs. (Economic Opportunity Funders)