Don’t Let Important Tax Credits Expire

Don’t Let Important Tax Credits Expire
Groups, Miami Mayor call for action on expiring tax credits that help nearly half of
Miami-Dade County residents

MIAMI—Today NCLR (National Council of La Raza), the South Florida Hispanic Chamber of Commerce and Miami Mayor Tomás Regalado joined together at a noon press conference to urge Congress to protect tax credits for working families that affect 46 percent of Miami-Dade County residents. Expansions of the Earned Income Tax Credit (EITC) and Child Tax Credit (CTC) are set to expire in 2017, harming the economic well-being of one million low-income Floridians. In 2012, the EITC added $5.1 billion to Florida’s economy and roughly $1 billion to Miami-Dade County’s, according to the Center for Budget and Policy Priorities.

If Congress lets key provisions of these pro-work tax credits expire at the end of 2017:

• Five million Latino working families with nine million children stand to lose an average of more than $1,000 each.
• Fifty million Americans, including 25 million children, will lose part or all of their EITC or CTC.
• More than one million Florida families would fall into, or deeper into, poverty.

Together, the CTC and EITC help lift 9.4 million people out of poverty every year, including five million children—more than one million in Florida. Married couples and families with more than two children would lose part of their EITC if not renewed, and many newlyweds would face a stiff marriage penalty (or a bigger marriage penalty). A married couple with three children and earnings of $35,000 would see their EITC shrink by roughly $1,200.

“We must urge Congress to act in the best interests of America’s hardworking families. Letting these critical tax credits expire will pull the financial rug right from under millions of families, pushing many of them into poverty," said Jared Nordlund, Florida Senior Strategist, NCLR.

Congress will soon vote to make certain tax credits for businesses permanent, including the Research and Development credit. The groups today called on Congress to pair any action on tax credits for business with those for working families, providing Americans more security about their financial futures.

“As a business leader, I am glad to hear that our elected officials are thinking ahead because a number of important tax credits for businesses need to be renewed before they expire at the end of this year. As Senators Rubio and Nelson consider making some of these tax credits permanent, they should do the same for tax credits that help working families who are just as important to strengthening our economy,” said Liliam M. López, President and CEO of the South Florida Hispanic Chamber of Commerce and the South Florida Hispanic Chamber of Commerce Foundation.

NCLR—the largest national Hispanic civil rights and advocacy organization in the United States—works to improve opportunities for Hispanic Americans. For more information on NCLR, please visit www.nclr.org or follow us on Facebook and Twitter.

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