The Carsey School of Public Policy at the University of New Hampshire recently released a report demonstrating the effectiveness of state credits in poverty reduction efforts, particularly for households of color. Using Current Population Survey (CPS) Annual Social and Economic Supplement (ASEC) data from 2010 to 2014, the report finds that families receiving state EITC benefits receive a meaningful boost in income — on average, in states with fully refundable state credits, families receive 2.4 percent of their total family earnings from the credits. Researchers also found that the impact of state credits vary by race. Average state EITC benefits lift 0.7 non-White or Hispanic-headed households out of poverty compared to 0.2 households headed by white, non-Hispanic individuals. Read the full report: State EITC Programs Provide Important Relief to Families in Need.
EITC Funders
