U.S. Sen Kay Hagan has urged the Senate Finance Committee to keep the Earned Income Tax Credit and the Child Tax Credit as it decides which tax breaks to eliminate.
She joined nine other senators in sending a letter to committee leaders to draw attention to how the tax credits help military families.
I want to see them preserved for all families, but because there are so many current and former military families in North Carolina, I really wanted to raise this particular issue with (Senate Finance Committee) chairman (Max) Baucus and (Republican Sen. Orrin) Hatch, Hagan, a Democrat from Greensboro, said in an interview Tuesday.
In the letter, the senators argue that the two tax credits keep more than 140,000 military families from falling below the poverty line, and help an additional 800,000 military families now living in poverty.
Baucus and Hatch wrote to fellow senators in June to ask for opinions about how to reform the tax code, and specifically which tax breaks senators want to keep and why.
Republican Sen. Richard Burr of Winston Salem, a member of the Finance Committee, joined Republicans in a letter of their own to Baucus and Hatch last week, arguing that tax reform should be revenue neutral, stressing that there should be no new taxes to provide more money for the federal government.
Tax reform should not be used as a pretense for increasing the net tax burden on American families and job creators, particularly in the absence of any serious effort to address long-term spending problems, their letter said.
The Earned Income Tax Credit is for low- to moderate-income working people. The child tax credit is worth $1,000 per child and is phased out for higher income taxpayers.
The N.C. legislature ended the state Earned Income Tax Credit for working families with children during the session that wrapped up last week. The nonpartisan Budget and Tax Center in North Carolina reported 64,000 military families would be affected.
Colbert on new N.C. gun law
North Carolina got a little more publicity Monday night this time on the Colbert Report.
Host Stephen Colbert gave a Tip of the Hat to the states new gun rights law that lets those with concealed carry permits take guns to bars, restaurants and playgrounds. He notes that guns on playgrounds can make the experience more fun, saying Instead of Duck, Duck, Goose, you can just play Duck, Duck, DUCK!
Staff writers Annalise Frank, Mary Cornatzer, Lynn Bonner and Renee Schoof
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