Montana State EITC
What is a state EITC? A State EITC builds on the success of the federal EITC in helping working Montana families with children reduce the poverty gap. Helping families help themselves. A state Earned Income Tax Credit (EITC) provides significant relief to low-income working families. A state EITC can stimulate our states' economy during an economic slowdown. As a result, EITCs have been enacted in states controlled by both Republicans and Democrats and have been supported by both business groups and social service advocates. A state Earned Income Tax Credit supplements the federal Earned Income Tax Credit and works as a rebate for state taxes paid by low-income working people. Twenty-three states plus the District of Columbia offer a state EITC, which is often set at a percentage of the federal credit. Currently, Montana does NOT have a state EITC, but if you think we should then it's up to you to speak up!
President Ronald Reagan called the EITC "the best anti-poverty, the best pro-family, the best job creation measure to come out of Congress."
Who would benefit from a state EITC in Montana?
Working Montana families. Families eligible for the federal EITC would be eligible for a state EITC in Montana. About 17 percent of Montana tax filers claim the federal EITC. The average federal credit is $1700. Set at 20% of the federal credit, a state EITC would return an average of $340 to Montana families.
What can you do to help get a state EITC enacted in Montana? Simply contact your state legislators to let them know you support the state EITC! To find your state legistlator go to http://leg.mt.gov/css/find%20a%20legislator.asp For more information call Ben at 406.454.5703.