Oregon Taxing Families Deeper into Poverty?
Friday, April 13, 2007
As next week’s tax filing deadline looms, Oregon is one of a minority of states that imposes income taxes on working families living in poverty. Now, state lawmakers are considering two bills that would help change that by expanding the Earned Income Credit. Michael Leachman with the Oregon Center for Public Policy says Oregon shouldn’t be taxing families deeper into poverty.
"To do so runs counter to our efforts to help these families achieve self-sufficiency. In the long run, it pays off to help these families make it on their own."
The state Earned Income Credit has historically enjoyed bi-partisan support. In 2005, legislators increased the EIC slightly. Leachman doesn't think taxing families in poverty make sense.
"Expanding the Earned Income Credit so that these families aren’t paying income taxes, both helps these families meet their immediate basic needs, and also achieve self-sufficiency for the long term."
Analysis of the bills (HB 3023 and HB 2398) is online at www.ocpp.org.
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