Category Archives: EITC

News Article: Supply-Side Economics, but for Liberals

News Article: Neil Irwin, Supply-Side Economics, but for Liberals, N.Y. Times (Apr. 15, 2017).

 

Free CLE: “20 Years After ‘The End of Welfare:’ Workfare Delivered Through Federal and State EITC Systems”

Free CLE: 20 Years After ‘The End of Welfare:’ Workfare Delivered Through Federal and State EITC Systems  Format: Webinar. Date: October 24, 2016. Time: 2:00 PM – 3:35 PM ET. Sponsors: Section of Civil Rights and Social Justice and the Section of Taxation

Blog Post: “2015 Poverty Measures Released: Antipoverty Relief Delivered through the IRC = EITC & CTC”

Blog Post: Francine J. Lipman, “2015 Poverty Measures Released: Antipoverty Relief Delivered through the IRC = EITC & CTC,” The Surly Subgroup, Sept. 18, 2016.

News Coverage: Tax Deal Makes Permanent Key Improvements to Working-Family Tax Credits | Center on Budget and Policy Priorities

News Coverage: Tax Deal Makes Permanent Key Improvements to Working-Family Tax Credits | Center on Budget and Policy Priorities

Report: “Earned Income Tax Credit and Rural Households”

Report:  Jon M. Bailey, Earned Income Tax Credit and Rural Households (Center for Rural Affairs 2014).

News Coverage of a new Report: America’s best program for the poor may be even better than we thought – Vox

America’s best program for the poor may be even better than we thought – Vox. [About EITC and with links to a new report on EITC’s effectiveness].

Paul Ryan’s Proposal Hints at Change in Tone on Poverty – NYTimes.com

Paul Ryan’s Proposal Hints at Change in Tone on Poverty – NYTimes.com.

New Article: “EITC as Income (In)Stability?”

New Article: Kerry A. Ryan, EITC as Income (In)Stability?, 15 Fla. Tax Rev. 583 (2014).  Abstract below:

Congress enacted the Earned Income Tax Credit (EITC), inter alia, to entice poor single mothers to work (or work more) as a means of lifting themselves out of poverty. Its design as a wage subsidy that phases out at higher earnings levels is intended to accomplish this goal. A strong labor market is crucial to the success of work-based benefit programs, such as the EITC. The EITC can motivate female household heads to work (or work more), but they cannot act on that motivation if no jobs or additional working hours exist. This Article demonstrates that during economic downturns, the EITC wage subsidy contributes to, rather than prevents, poverty in single-mother families. Lost EITC benefits exacerbate recession-induced earnings losses, a phenomenon this Article refers to as income destabilization. In contrast, the EITC stabilizes the incomes of its wealthier beneficiaries as increased credit amounts offset underlying salary declines. While this pattern of income (de)stabilization is an unintended byproduct of the design of the EITC as a targeted wage subsidy, its negative impact on the economic welfare of female-headed households is problematic, given that these same families are the historically targeted program beneficiaries. This Article offers a narrowly tailored proposal that alters the structure of the EITC during recessionary periods in order to prevent EITC-induced income destabilization.

How to fix the EITC – Opinion – The Boston Globe

How to fix the EITC – Opinion – The Boston Globe… Op-Ed by US Rep. Richard E. Neal from Massachusetts.

New Article: “The Broken Safety Net: A Study of Earned Income Tax Credit Recipients and a Proposal for Repair”

New Article: Sara Sternberg Greene, The Broken Safety Net: A Study of Earned Income Tax Credit Recipients and a Proposal for Repair, 88 NYU L. Rev. 515 (2013).  Abstract below:

The Earned Income Tax Credit (EITC) is the largest federal antipoverty program in the United States and garners almost universal bipartisan support from politicians, legal scholars, and other commentators. However, assessments of the EITC missed an imperative perspective: that of EITC recipients themselves. Past work relies on largely unconfirmed assumptions about the behaviors and needs of lowincome families. This Article provides a novel assessment of the EITC based on original data obtained directly from 194 EITC recipients through in-depth qualitative interviews. The findings are troubling: They show that while the EITC has important advantages over welfare, which it has largely replaced, it fails as a safety net for low-income families. The problem is that the EITC provides a large windfall to families only once per year, during tax refund season. However, low-income families are particularly vulnerable to financial shocks and instability. Not surprisingly, such events rarely coincide with tax refund season. Without a fix, the EITC leaves many families on the brink of financial collapse. In the years to come, many more low-income families may file for bankruptcy or become homeless. Despite this grim outlook, this Article suggests a straightforward and promising new way to distribute the EITC that maintains the program’s advantages while also providing a more secure safety net for low-income families in times of financial shock and instability. – See more at: http://www.nyulawreview.org/issues/volume-88-number-2/broken-safety-net-study-earned-income-tax-credit-recipients-and-proposal#sthash.xDva6rvi.dpuf