Why the EITC is so important:
- The EITC is one of the most effective tools in America to lift families out of poverty
- Last year, the Cal EITC put almost $200 Million directly into the hands of nearly 400,000 working Californians for the first time
- The Federal EITC delivers over $7 Billion to low-income Californians every year
- Research shows children whose families receive a boost in income from EITC perform better in school and have better health.
- The EITC enjoys wide bipartisan support for encouraging work and continued employment
- Families use the EITC to buy shoes, put food on the table food, pay bills, and cover basic needs for their kids
- Governor Brown described the CalEITC as one of his most important achievements
Why EITC Outreach and Education Matters:
- Every year California leaves $2 Billion of unclaimed EITC money on the table
- Research suggests outreach around state level EITC’s increase uptake of the Federal EITC.
- About one-third of the EITC eligible population turns over each year
- Workers move into and out of eligibility based on changes in their marital, parental and financial status
- Three out of five who receive the credit use it temporarily, for one or two years.
- You must claim the credit to receive it. Over 50,000 working people filed California taxes last year and failed to claim the credit
- Many people who qualify for the credit and are eligible for up to $6,000 fail to simply file taxes because they make below the required income threshold