Important Information for Tax Season
With the IRS tax filing date one month away, I want to remind you about an important tax program that provides relief to families in need and ask for your help in spreading the word.
The Earned Income Tax Credit (EITC) is an important tool that provides low- to moderate-income families significant tax relief. Unfortunately, Oregon has persistently ranked near the bottom of U.S. states in terms of people utilizing this program, leaving millions of dollars – that should be going to families and supporting our local economy – on the table.
Right now, only 73.4 percent of eligible Oregonians are utilizing this tool. If we were to increase this rate just to the national average of 78.6 percent, it would unlock $27 million in additional tax relief for families in our state.
The problem is that many low earners don’t realize they are eligible and then don’t file taxes, causing them to lose money that could make a difference for them and their children. Last year, for example, more than 85,000 eligible taxpayers in Oregon missed out.
If you or someone you know is eligible for this program, please spread the word. More information about the EITC can be found here.
The more people we educate about this now, the more it will pay dividends in the future.
One important provision I fought to secure in the American Rescue Plan is a major expansion to the EITC for next year’s tax filing period. While this expansion doesn’t apply to the current filing season, the more people we educate now, the more we can expand on this effort next year.
As we continue to recover from the pandemic, ensuring Oregonians are getting access to relief they are entitled to will help all of us. Please help spread the word.