• Home
  • News
    • Politics & Government
    • Business & Economy
    • Crime / Courts
    • Health / Medicine
  • Sports
    • High School Sports
    • Radio Iowa Poll
  • Affiliates
    • Affiliate Support Page
  • Contact Us
    • Reporters

Radio Iowa

Iowa's Radio News Network

You are here: Home / Democrats want to increase tax credit to poor

Democrats want to increase tax credit to poor

February 27, 2007 By admin

Statehouse Democrats are working to beef up a tax credit for the working poor to offset the proposed increase in the state’s cigarette tax. Critics of the tax have said it would fall hardest on poor people, who are more likely to be smokers and least able to bear the dollar-a-pack increase the governor’s proposing.

Currently more than 100,000 Iowans qualify for a low-income tax credit on their state and federal returns. The federal credit is refundable but the state credit is not. The chair of the Senate tax writing committee, Joe Bolkcom, an Iowa City Democrat, says it should be especially as the state considers raising a regressive tax like the one on cigarettes.

The federal Earned Income Tax Credit has been very successful, Bolkom says, at putting thousands of dollars into the pockets of low-income working families. He says when they file their taxes, it "provides a real boost," so backers of the change are working to make the tax credit refundable and help working families. While it could mean a refund of a couple hundred dollars to individual taxpayers, it would cost the state up to fifteen-Million in lost revenue.

But businessman Doug Struyk of Council Bluffs, a key House Republican, says it’s a "wise investment" that will do more to help the working poor than the recent increase in the minimum wage. Bolkom says even with all the tax-cutting of recent years, little of it has benefited low-income working families. He says this is a targeted effort to help them.

Share this:

  • Facebook
  • Twitter

Filed Under: Uncategorized Tagged With: Democratic Party, Legislature

Featured Stories

Bill would limit placement of solar arrays on farm ground

Marquette casino moving to land, leaving only 2 casino boats in Iowa

Reynolds signs her ‘school choice’ bill into law

Governor Reynolds touts 2024 Iowa Caucuses in Inaugural Address

University of Iowa grad presiding over U.S. House Speaker vote

TwitterFacebook
Tweets by RadioIowa

No coaching changes coming for Iowa football

Iowa State names new receivers coach

No. 2 Iowa visits No. 1 Penn State in wrestling dual Friday night

Iowa’s Clark brings increased exposure to women’s basketball

No. 18 Iowa State women visit TCU

More Sports

Archives

Copyright © 2023 ยท Learfield News & Ag, LLC