The Tax Policy Center has completed a project examining how federal tax policy could improve the economic prospects of low- and middle-income working families in cities. The papers show how existing federal tax rules affect these families, and that a variety of public policies are available to provide better economic opportunities and incentives for these households:
Introduction and Overview: This paper shows how existing federal tax rules affect working families in cities, and that a variety of public policies are available to provide better economic opportunities and incentives for these households.
Discussion Paper: Tax Policies to Help Working Families in Cities
Child Care: This paper examines the most recent changes to the Child and Dependent Care Tax Credit and offers two options for making the CDCTC more valuable to low-income families: making the credit refundable, and increasing the credit rate.
- Discussion Paper: Tax Subsidies to Help Low-Income Families Pay for Child Care
- Issues and Options Brief: Tax Credits to Help Low-Income Families Pay for Child Care
The Saver’s Credit: This paper reviews the limited experience to date with the saver’s credit–designed to promote tax-qualified retirement saving for moderate- and lower-income workers–and assesses various options for strengthening the credit.
- Discussion Paper: Improving Tax Incentives for Low-Income Savers: The Saver’s Credit
- Issues and Options Brief: Making the Tax System Work for Low-Income Savers
Health Insurance: This paper examines implications of major expansions in tax credits for health insurance, starting with the President’s refundable tax credit proposal.
- Discussion Paper: Tax Credits for Health Insurance
- Issues and Options Brief: Tax Credits for Health Insurance
Homeownership: This paper focuses on several reforms that would deliver ownership subsidies more equitably and efficiently to households at lower income levels.
