Working Families Disaster Tax Relief Act
Sponsored By: Representative Jacobs, Sara [D-CA-51]
Introduced
Summary
Allow using prior-year earned income to qualify for the Earned Income Tax Credit (EITC) and the refundable Child Tax Credit (CTC) after a presidentially declared disaster. It would let people hit by a major disaster elect to use the preceding taxable year when calculating eligibility for those credits.
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Bill Overview
Analyzed Economic Effects
1 provisions identified: 1 benefits, 0 costs, 0 mixed.
More tax help for disaster-hit families
You would be able to use last year’s earned income to figure your Child Tax Credit and Earned Income Tax Credit. This would apply to taxable years beginning after December 31, 2024. You must be a "disaster-affected taxpayer" — your main home or main work was in a Presidentially declared disaster zone during the incident period, or you were displaced from your home in the declared area. To make the change you would elect to substitute the preceding taxable year in the credit rules; the bill ties disaster terms to a Presidential major disaster under the Stafford Act.
Sponsors & CoSponsors
Sponsor
Jacobs, Sara [D-CA-51]
CA • D
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
No roll call votes available for this bill.
View on Congress.gov