Some recent articles have incorrectly suggested that the tax framework did not do well by middle-income families, hard-pressed workers and their children. We wanted to clear up the record. The tax framework the President agreed to includes provisions he fought for and secured that are very positive policies for jobs and growth, for the middle class and for our nation’s most hard-pressed working families. The President fought for an increase in the child tax credit of up to nearly $1,500 for a low-income family with two children and will work to make it a permanent part of our tax code. Middle-class families will keep their tax cuts and get an additional tax cut worth hundreds of dollars more than what they get this year. And the economy will get additional jobs, with several outside economists estimating more than 1.5 million because of the items the President pushed for in this agreement. There are provisions that benefit that wealthy that the President would have preferred to exclude, but we should not miss the forest for the trees.
What the framework means for working families
Remember where the Republicans were when we started this process. Their tax proposals included no extension of tax credits like Making Work Pay, the expanded refundability of the child credit, the Earned Income Tax Credit (EITC), or our new expanded – and partially refundable – tax credit for college. Several of these tax credits were not contained in the progressive and fiscally responsible House-passed tax bill supported by the President.
Let’s start with what the payroll tax cut means for working families. Any single person with kids who earns over $20,000 will do better under this framework than they would have if we had fully extended Making Work Pay with full refundability. So will any couple making over $40,000.
Fonte: White House