News Round Up: February 16, 2021
February 16, 2021Print
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: This week, Maryland Governor Larry Hogan (R) signed a COVID-19 relief package into law that will increase the value of the state refundable Earned Income Tax Credit (EITC) from 28% to 45% of the federal credit and to 100% of the federal credit for filers without dependent children. The package also includes direct stimulus payments for EITC-eligible filers. (Office of Gov. Larry Hogan)
- U.S. Senators Catherine Cortez Masto (D-Nev.), Bob Casey (D-Penn.), Patty Murray (D-Wash.), and Ron Wyden (D-Ore.) introduced the Child and Dependent Care Tax Credit (CDCTC) Act, which would increase the maximum value of the credit, make the credit fully refundable, and index the benefits to inflation to keep up with rising costs. (Senator Catherine Cortex Masto)
- Elaine Maag, principal research associate at the Urban-Brookings Institution Tax Policy Center, urged Congress to consider expanding the federal EITC to students to help them make ends meet. (Forbes)
- Watch the Urban Institute’s recent webinar discussing how the federal Child Tax Credit should be expanded and enhanced within the new COVID-19 relief package. (Urban Institute)