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Medical copays reduce health care access in MS prisons; Israel planted explosives in pagers sold to Hezbollah according to official sources; Serving looks with books: Libraries fight 'fast fashion' by lending clothes; Menhaden decline threatens Virginia's ecosystem, fisheries.

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JD Vance calls for toning down political rhetoric, while calls for his resignation grow because of his own comments. The Secret Service again faces intense criticism, and a right to IVF is again voted down in the US Senate.

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A USDA report shows a widening gap in rural versus urban health, a North Carolina county remains divided over a LGBTQ library display, and Minnesota Governor Tim Walz' policies are spotlighted after his elevation to the Democratic presidential ticket.

Earned Income Tax Credit's "Rural Factor" Strong in South Dakota

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Monday, November 24, 2014   

SIOUX FALLS, S.D. – Rural living can be a struggle in South Dakota.

In fact, for one in five of the state's rural workers, the Earned Income Tax Credit (EITC) keeps them above the poverty line, according to new research from the Center for Rural Affairs.

It's a refundable federal tax credit that 20 percent of rural South Dakotans claim, compared with 16 percent of those who live in metro regions.

Report author Jon Bailey calls the tax credit effective, but also points to its use as reflective of other economic indicators for rural areas.

"It's another example of a poverty-alleviation safety-net program that's used more in rural places,” he says. “That follows along with the rural economy, and all the data on the rural economy compared to urban economies."

South Dakota's EITC use tracks the national trend, and Bailey says the divide between metro and rural or small cities is even greater in the South.

Bailey says there has been talk about updating the credit, and he believes this new research makes the case that changes are needed.

"It's the kind of policy that I think deserves some real analysis, as far as the expansion of it and making it available to more people," he stresses.

A refundable tax credit means families qualifying and filing for the EITC receive federal income tax refunds, cash that Bailey says is quickly circulated through communities.





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