Welcome to DU!
The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards.
Join the community:
Create a free account
Support DU (and get rid of ads!):
Become a Star Member
Latest Breaking News
General Discussion
The DU Lounge
All Forums
Issue Forums
Culture Forums
Alliance Forums
Region Forums
Support Forums
Help & Search
This nifty GOP trick will punish the poor and increase the deficit - at the same time!
Source: Washington Post
This nifty GOP trick will punish the poor and increase the deficit — at the same time!
By Catherine Rampell Opinion writer September 11 at 7:30 PM
Never accuse Republicans of being uncreative. Once again, they’ve found an innovative way to punish the poor and simultaneously increase budget deficits — all with one nifty trick!
To pull off this impressive twofer, they would put every American applying for the earned-income tax credit (EITC) through a sort of mini-audit before getting their refund. This would both place huge new burdens on the working poor and divert scarce Internal Revenue Service resources away from other audit targets, such as big corporations, that offer a much higher return on investment.
For those not familiar, the EITC is basically a way to top up low- and moderate-income people’s pay through a tax refund, to give them a bigger payoff from working.
The EITC has an excellent track record both economically and politically. Lots of studies have found that it increases workforce participation, for example. Since its introduction in 1975, it has also received bipartisan support, given its dual purpose as both an anti-poverty and a pro-work program. Both Republican and Democratic presidents have overseen major EITC expansions.
-snip-
By Catherine Rampell Opinion writer September 11 at 7:30 PM
Never accuse Republicans of being uncreative. Once again, they’ve found an innovative way to punish the poor and simultaneously increase budget deficits — all with one nifty trick!
To pull off this impressive twofer, they would put every American applying for the earned-income tax credit (EITC) through a sort of mini-audit before getting their refund. This would both place huge new burdens on the working poor and divert scarce Internal Revenue Service resources away from other audit targets, such as big corporations, that offer a much higher return on investment.
For those not familiar, the EITC is basically a way to top up low- and moderate-income people’s pay through a tax refund, to give them a bigger payoff from working.
The EITC has an excellent track record both economically and politically. Lots of studies have found that it increases workforce participation, for example. Since its introduction in 1975, it has also received bipartisan support, given its dual purpose as both an anti-poverty and a pro-work program. Both Republican and Democratic presidents have overseen major EITC expansions.
-snip-
Read more: https://www.washingtonpost.com/opinions/this-nifty-gop-trick-will-punish-the-poor-and-increase-the-deficit--at-the-same-time/2017/09/11/6d6c5e6e-972e-11e7-82e4-f1076f6d6152_story.html
