Tax policy should be fair to low-income workers

MADISON — Today, Sen. Kelda Roys (D-Madison) and Rep. Mike Bare (D-Verona) introduced legislation with Sen. LaTonya Johnson (D-Milwaukee) and Rep. Daniel Riemer (D-Milwaukee) to invest in workers by increasing the amount workers can claim on an earned income tax credit (EITC). This bill reduces taxes on Wisconsin workers and simplifies an excessively complicated section of the tax code.

Research shows that the EITC increases labor force participation, raises incomes, and reduces poverty – all of these things are shown to have positive impacts on health and quality of life for children. 

Sen. Roys: “Wisconsinites will thrive when we build our economy from the bottom up. This bill will give families the financial stability they need, by putting more money into the pockets of low-income workers. Workers in poverty struggle to afford basic necessities - safe housing, childcare, transportation. We should focus our tax policy on building financial security and opportunity for the most economically vulnerable families, rather than the wealthiest among us.”

Rep. Bare: “We have the largest surplus in state history, and we should use it to help families who need it most. We can do just that by increasing the state’s Earned Income Tax Credit (EITC). These increases to the proven EITC will encourage work and reduce poverty, especially among children. This bill is targeted tax relief for working parents who are struggling to make rent, and buy school supplies and food.”

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