If you had the opportunity to generate $21 million in local economic activity across Utah, cut taxes for low-wage working Utahns, and address child poverty to boot, would you take it?
That's an offer on the table now for Utah's state lawmakers. The House recently passed legislation to create the Working Individuals and Families Credit, which would ensure that low- to moderate-income working Utahns retain more of their wages through a modest tax credit. By building on the federal Earned Income Tax Credit, one of the most effective policies at lifting working families and children out of poverty, nearly 1 in 5 Utah taxpayers would qualify for tax relief.
If passed, the tax credit would be a boon for businesses and communities across Utah. Workers getting the credit would spend it at local businesses to pay for basic needs like groceries and medical expenses, putting an estimated $21 million back into local economies. And small business owners who file their taxes individually could qualify for the credit themselves.