Tax Credits

Congress and the administration need to ensure our tax policies help the most vulnerable Americans. In 2018, refundable tax credits, such as the earned income tax credit (EITC) and child tax credit (CTC), moved 7.9 million people out of poverty and helped to prevent millions of Americans from falling into poverty.

In 2017, Congress passed a major tax overhaul that widened income and racial disparities—cutting the corporate tax rate and treating low-income households largely as an afterthought. In fact, 11 million children under age 17 in households with the lowest incomes received no improvement in the CTC, even though households earning as high as $400,000 received large increases.

The EITC significantly benefits low-income workers with children. However, low-income workers not raising children in the home receive little or nothing from the EITC. As a result, workers not raising children in the home are the sole group that the federal tax system taxes deeper into poverty.

Research shows that the EITC and CTC increases employment, reduces poverty, and improves the outcomes of children such as better health and higher educational attainment.

Congress should support policies such as the Working Families Tax Relief (H.R. 3157/S.1138). The legislation expands the EITC for workers not raising children in the home, increases the EITC benefit, and makes the CTC fully refundable for lower-income households.

The legislation would benefit 46 million low- and moderate-income households and 114 people by providing them with more income.

 

"Jesus said ...
'You give them something to eat.'"

Matthew 14:16

Tools
from our Resource Library

For Education

  • Election Resources

    One of the best times to raise the issues of hunger and poverty is during election campaigns. Engage candidates in your state/district on hunger and poverty using our elections resources.
  • Racially Equitable Responses to Hunger During COVID-19 and Beyond

    By Marlysa D. Gamblin and Kathleen King

    The U.S. Department of Agriculture defines food insecurity as when a person or household does not have regular, reliable access to the foods needed for good health. Black, Indigenous, and Other People of Color (BIPOC) have historically had higher...

  • Fact Sheet: COVID-19 Global Pandemic, Better Nutrition Protects Lives

    With the coronavirus now spreading in low-resource contexts and new waves of infection expected in the coming year, better nutrition for vulnerable people is more important than ever.

For Faith

  • Finding Hope, Ending Hunger on Both Sides of the Border: A Bilingual Latino Devotional

    Devotional writers challenge us to feel the Spirit of God within us and to hear God’s urgent call to demand justice so all can put food on the table.
  • The Bible on Health as a Hunger Issue

    “As you therefore have received Christ Jesus the Lord, continue to live your lives in him, rooted and built up in him and established in faith.” These words from Colossians 2:6 remind us of the faith that is active in love for our neighbors.

    The Bible on...

  • Unity Declaration on Racism and Poverty

    A diverse body of Christian leaders calls on the churches and Congress to focus on the integral connection.

    Dear Members of Congress,

    As the president and Congress are preparing their plans for this year, almost 100 church leaders—from all the families of U.S. Christianity—are...

For Advocacy

Faith

African at Heart

November 22, 2019

Insight

From the Blog