EITC/Free Tax Assistance
Harnessing the power of the Earned Income Tax Credit (EITC) is an integral part of Casey's Family Economic Success approach. The EITC is one of the most effective anti-poverty strategies ever developed, lifting millions of people above the poverty line each year. First enacted in 1975, and expanded four times since then, the federal tax credit enjoys bi-partisan support. It is intended to reduce the tax burden on low-income workers, supplement their wages and provide an incentive for work.
The EITC can contribute a substantial amount of money to families who are struggling to make ends meet. For tax year 2006, the EITC could add as much as $4,500 to a qualified family's annual income. By raising awareness of the EITC and increasing the use of tax credits, the Foundation and other nonprofit organizations are helping more low-income families achieve economic stability and enter the financial mainstream. In addition, the Casey Foundation seeks to protect the full value of the EITC for families by encouraging the use of free or low-cost tax preparation and helping low-income taxpayers avoid unnecessary fees and high-interest "rapid refund" loans. It also encourages the use of tax refunds as part of an overall asset-building strategy.
Learn More
- Find all resources on Tax Policy in the Casey Foundation's Knowledge Center.