Sen. Felag introduces bill to raise RI earned income tax credit
STATE HOUSE – Sen. Walter S. Felag, Jr. (D-Dist. 10, Warren, Bristol, Tiverton) introduced legislation (2017-S 0028) on January 18th that would provide any Rhode Island taxpayers who are entitled to a federal earned-income credit the ability to receive a state earned-income credit equal to 18 percent of the federal credit.
“The earned-income tax credit is a vital lifeline to many in our state and country who are struggling on a daily basis. It is an effective way of assisting our friends and neighbors who are still under water with bills and daily expenses during these trying economic times. Increasing the amount of the state’s earned-income tax credit is appropriate and would be extremely beneficial to many hard working low to moderate income people,” said Senator Felag.
These credits help as a fiscal stimulus to the state, work incentive, assist child care payments and as a potential financial savings so families can avoid future financial setbacks.
According to the legislation, the state earned-income credit cannot exceed the amount of the state income tax paid and would go into effect for tax years beginning on or after January 1, 2018. Rhode Islanders are entitled to a state earned-income credit of 15 percent of the federal credit as of January 1, 2017.
Cosponsors of the legislation are Sen. Frank S. Lombardi (D-Dist. 26, Cranston); Sen. Michael J. McCaffrey (D-Dist. 29, Warwick); Sen. Paul V. Jabour (D-Dist. 5, Providence); and Sen. Erin Lynch Prata (D-Dist. 31, Warwick, Cranston).
For more information, contact:
Andrew Caruolo, Publicist
State House Room 20
Providence, RI 02903