Golden State Opportunity has released a new report, Our Fair Share: The Earned Income Tax Credit’s Crucial Role During a Recession, with original economic analysis confirming that the Earned Income Tax Credit (EITC) is a powerful economic driver. Analysis shows that in 2019 state and federal EITC refunds created or sustained 74,000 jobs in California, which is equivalent to nearly 25% of the total jobs created in California that year. Over the four years California has invested in its own state EITC, Californians have claimed $400 million more in federal EITC dollars. However, California still isn’t getting its fair share of federal EITC money based on population and contribution to the national economy. At a time when bringing more federal dollars into the state is critical to safeguard against a looming recession and ballooning inequality, state spending on outreach and free tax filing grants that bring EITC refunds into low-income communities are at risk in the current budget.
Comments (0)