Establish and Expand Refundable State Earned Income Tax Credits and Child Tax Credits Earned income tax credits (EITCs) and child tax credits — at both the federal and state levels — are well-targeted to boost the incomes of Black women. [...] The deduction is heavily skewed in favor of high-income tax filers, who are more likely to itemize their deductions, to afford a bigger mortgage, and to receive a larger tax break per dollar of mortgage interest deducted because they are in higher tax brackets.49 Nearly 90 percent of federal tax filers claim the standard deduction on their income taxes and are thereby ineligible to receive the mor. [...] Some studies suggest the deduction may actually reduce homeownership by driving up housing prices and the cost of down payments.58 It widens the racial wealth gap, doubling down on the impacts of discriminatory housing policies of the past and creating greater barriers for Black women and other people of color to afford the costs of owning a home. [...] consequences: late fees and interest can accumulate, and individuals may be subject to additional court hearings, wage garnishment, suspension of their driver’s license, damage to their credit score, loss of the right to vote, and even imprisonment.72 Fines and fees have a real and quite severe human cost, and furthermore, they have proven to be a remarkably inefficient way for state and local gov. [...] In the wake of Reconstruction, Mississippi first put these rules in place, allowing a minority of lawmakers and special-interest lobbyists to thwart the will of a majority and make it harder to raise more and fairer revenues.
- Pages
- 36
- Published in
- United States of America
