Institute on Taxation and Economic Policy

Local Refundable Tax Credits

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These Three Local EITCs Are Boosting Family Incomes at Tax Time

April 10, 2024 • By Andrew Boardman

This tax season more than 800,000 households in New York City, Maryland's Montgomery County, and San Francisco are set to receive a boost through local refundable EITCs. These credits put dollars directly into the pockets of low-income households, equipping families with resources to better make ends meet and invest in their futures. In turn, they can help build stronger, fairer, and more resilient communities.

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Worthwhile Ideas for a Stronger and Fairer D.C. Tax Code

January 17, 2024 • By Andrew Boardman, Kamolika Das, Marco Guzman

The nation’s capital has a once-in-a-decade opportunity to advance a stronger and fairer local tax code. New draft recommendations from a key advisory panel will help leaders make the most of the moment.

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Three Localities are Boosting Communities with Refundable EITCs; Others Should Follow Suit

October 30, 2023 • By Kamolika Das

Most states already offer their own Earned Income Tax Credits, typically matching a certain percentage of residents’ federal EITC, but this is still a rarity among localities.

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Local Earned Income Tax Credits: How Localities Are Boosting Economic Security and Advancing Equity with EITCs

October 30, 2023 • By Andrew Boardman, Galen Hendricks, Kamolika Das

Leading localities are using refundable EITCs to boost incomes and reduce taxes for workers and families with low and moderate incomes. These local credits build on the success of EITCs at the federal and state levels, reduce economic hardship and improve the fairness of the tax code.