News Round Up: August 17, 2020
The COVID-19 pandemic is disproportionately affecting low-income communities and exacerbating economic inequality across the country. Throughout this crisis, TCWF will compile news, legislation, and research on how tax credits and other income-boosting policies can provide much-needed relief for the hardest-hit communities:
Top Story: Members of the Congressional Black Caucus sent a letter to Democratic Congressional leadership asking for their continued support in passing critical improvements to the federal Earned Income Tax Credit (EITC) in the next COVID-19 relief package, which will help millions of workers without dependent children during the pandemic. (Young Invincibles)
- Elaine Maag, principal research associate at the Tax Policy Center, examined U.S. Senator Kamala Harris’s (D-CA) proposed “LIFT (Livable Incomes for Families Today) the Middle Class Act,” which would create a new income-based tax credit, and analyzed its benefit for low and moderate-income workers during the COVID-19 pandemic. (Forbes)
- The Internal Revenue Service (IRS) reopened the registration period for low-income households that have not received the supplemental $500 per child stimulus check from August 15 to September 30. (WXXV25 News)
- New survey data from Prosperity Now illustrated the current financial situation of low-income families during the COVID-19 pandemic and the strategies they use to secure necessary resources. (Prosperity Now)
- A new report from the Hamilton Project examined COVID-19’s impact on existing health and economic disparities in Black communities. (Hamilton Project)
- A new report from Golden State Opportunity examined the positive economic impact of the federal and state EITC on California’s economy and offered recommendations on how the credit can be improved at the federal and state level to be a more effective tool during the recession. (Golden State Opportunity)