Many States Have Created or Expanded Tax Credits to Help Families Get By

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Many States Have Created or Expanded Tax Credits to Help Families Get By
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Earned income and state child tax credits make the tax code fairer, bolster equity and improve economic security.

than white families on average — the result of historical and ongoing bias and discrimination. These equity-boosting tax credits are especially important today, given people of color, immigrants, women, and individuals with low incomes were particularly hit hard by the pandemic’s economic downturn.increased

its state EITC from 18 percent to 20 percent of the federal credit and extended it to immigrants who file taxes with an Individual Tax Identification Number , as well as to people aged 18-24 and 65 and over who don’t claim children on their tax return. Eight states and D.C. now offer EITCs that include ITIN filers.worth 15 percent of the federal credit as part of a new tax law, providing many workers and families a meaningful boost.

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