Working Families Deserve More from Trump Administration’s Tax Reform Plan

By Yuqi Wang, Policy Analyst, Economic Policy Project, NCLR

In an attempt to squeak in a policy win during his first 100 days, President Trump released a tax reform outline this week. Unfortunately, the big tax reform reveal was simply a one-page outline that was thin on details. The little content that was shared makes it clear that the president plans to line the pockets of the rich and provide very little support to working families. The tax reform outline also runs directly counter to the Trump administration’s pre-election promises about tax reform—that reform would not reduce revenues, not cut taxes for the wealthy, and benefit working families.

The proposal places too much emphasis on rewarding the wealthy and corporations. Plus, there’s no way to pay for it, which means we’re looking at either a very large increase in the national debt, or huge reductions in federal spending, neither of which benefits middle-class workers.

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Four Things for Latino Families to Remember on Tax Day

By Yuqi Wang, Policy Analyst, Economic Policy Project, NCLR

For many Latino households, the tax refunds they receive every April is one of the largest influxes of cash they receive all year. The refunds help families pay debts, keep them out of poverty, and help to buy necessities like clothes and groceries. Below are a few things for Latino families to keep in mind as the 2016 tax filing season wraps up today.

1. You may be eligible for critical refunds, such as the EITC or CTC. Filing your taxes means that you might be eligible for critical refunds like the Earned Income Tax Credit (EITC) and the Child Tax Credit (CTC). The EITC and the CTC are two refundable tax credits that benefit low- and middle-income earners. They increase the earnings of lower-income workers, reduce child poverty, make low-wage work more rewarding, and offset the effect of paying regressive payroll taxes. Both credits raised more than nine million Americans out of poverty in 2015, and made 22 million others less poor. It is important to note that taxpayers filing with an ITIN number are eligible to claim the CTC, but not the EITC.

2. If you file your tax return with an ITIN, you may need to renew your ITIN to get a refund. Under legislation passed by Congress in 2015, the IRS requires that certain taxpayers renew their ITINs before they submit their tax return and claim certain tax credits, primarily the Child Tax Credit. Affected ITINs expired on January 1, 2017, and unless renewed, taxpayers using expired ITINs on their tax returns will face a delay in receiving eligible tax refunds. For more information and resources on renewing ITINs, visit nclr.us/ITIN.

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