When it comes to taxes, Hoosiers want to see that each person and business is contributing their fair share to the services and supports we need to have quality of life and quality of place. A fair tax code means:
- Everyone pays what they owe
- Investments in Families, like Earned Income Tax Credit (EITC) and Child Tax Credit (CTC)
- Tax burdens are distributed equitably across taxpayer groups
- Sufficient revenue to fund needed infrastructure and services
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Earned Income Tax Credit
The federal and state EITCs are available to most low- to moderate-income working families and individuals, and function as a wage subsidy by boosting earnings as workers increase their hours, which encourages work. These credits life millions out of poverty, but have room for improvement. Federal and state lawmakers should enact changes to both credits that (1) ensure parity between the treatment of childless workers and those with children, (2) eliminate "marriage penalties", and (3) drive higher participation. | POLICY BRIEF
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