Background on EITC and Cash Transfers

The Earned Income Tax Credit is a benefit for low to moderate-income workers and couples, with an increased amount for those with children. Since it began in 1975, the EITC has become one of the country's leading anti-poverty programs, pulling more people out of poverty than SNAP and housing subsidies combined. Below are materials giving more details on the policy's impact.

The Earned Income Tax Credit

• "What is the Earned Income Tax Credit?" Tax Policy Center.

• "Policy Basics: The Earned Income Tax Credit." The Center on Budget and Policy Priorities (CBPP). April 2018.

• Fact Sheets: “EITC Usage by Congressional District and State.” The Center on Budget and Policy Priorities (CBPP).

• "EITC and Child Tax Credit Promote Work, Reduce Poverty, and Support Children’s Development, Research Finds." The Center on Budget and Policy Priorities (CBPP). October 2015.

• "Effective Policy for Reducing Inequality? The Earned Income Tax Credit and the Distribution of Income." Hilary W. Hoynes, Ankur J. Patel. July 2015

• Local economic impacts and multiplier effect of EITC payments: “The Earned Income Tax Credit: Good for Our Families, Communities, and Economy.” National Community Tax Coalition. January 2012.

The Impact of Cash Transfers

• “The Impact of Cash Transfers — a review of the evidence.” Compiled by Economic Security Project. August 2019.

• “Cash and Income Studies: A Literature Review of Theory and Evidence.” The Phenomenal World. February, 2019.