It’s time for Michigan to increase the Earned Income Tax Credit

Published on January 23, 2023 in

Join us in urging Michigan legislators to support working families! 

The Earned Income Tax Credit (EITC) provides a vital income boost for low- and moderate-income households by helping them keep more of their hard-earned dollars. In 2011, Michigan’s EITC was reduced by 70%, leaving many families struggling to afford food, rent and other essentials. It is time for the legislature to invest in working households by increasing the state EITC to 30% of the federal credit.  

The Michigan ALICE Report shows us that before the recent spike in inflation, 1 in 3 households were not able to afford the cost of a basic monthly budget including food, housing, childcare, transportation, healthcare, taxes and technology. In the wake of inflation and soaring costs, the need to expand the EITC is even more urgent. Increasing the Earned Income Tax Credit would put hundreds of dollars back into working families’ wallets, giving them much needed flexibility in their budgets to afford childcare, food, utilities and more.  

The EITC also uplifts the whole community, as most of the additional income is spent locally in community grocery stores, pharmacies, childcare facilities, auto shops and more. In fact, expanding the EITC to the 30% level will pump approximately an additional $450 million into local economies throughout the state, boosting small businesses and generating $1.50 to $2.00 in local economic activity for every $1.00 received.   

Our working families, small businesses and communities are counting on Michigan’s legislators for support. Join us in urging them to pass an increase to the Earned Income Tax Credit today! 

Take Action

Tell legislators to to pass an increase to the Earned Income Tax Credit today!