[Congressional Record (Bound Edition), Volume 154 (2008), Part 10]
[Extensions of Remarks]
[Page 13880]
[From the U.S. Government Publishing Office, www.gpo.gov]




    INTRODUCTION OF EARNED INCOME TAX CREDIT INFORMATION ACT OF 2008

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                           HON. RAHM EMANUEL

                              of illinois

                    in the house of representatives

                        Wednesday, June 25, 2008

  Mr. EMANUEL. Madam Speaker, today I am introducing the Earned Income 
Tax Credit Information Act of 2008, legislation that will make it 
easier for millions of Americans to receive the Earned Income Tax 
Credit, (EITC).
  Every year I host tax clinics in my district in order to help my 
constituents get a fair deal when they file their taxes. Hundreds of my 
constituents come to these clinics and with the help of volunteers 
receive thousands of dollars in tax refunds.
  But millions of Americans and thousands in my district still don't 
get the tax credits they deserve, like the EITC. The EITC is the single 
most important tool we have to encourage work and reduce poverty in our 
country.
  Nationally, over 22 million working Americans benefit from this 
program and receive $43 billion in Federal assistance. That's an 
average amount of over $1900 per taxpayer. At $4 a gallon, an average 
EITC check can now pay for 32 trips to the gas station to fill your 
tank.
  In my district, over 38,000 taxpayers received $64 million through 
the EITC. But because one-quarter of those eligible to receive EITC 
don't claim it, there are also nearly 13,000 of my constituents who 
should receive EITC but don't and they're losing out on $25 million in 
benefits.
  Nationally, there are 7 million Americans who are eligible to receive 
this benefit but don't. This amounts to a loss of $14 billion to 
eligible working Americans.
  American families are struggling to get by. The cost of gas, food, 
education, and health care are skyrocketing. How can we stand by and 
let the American people leave $14 billion on the table?
  A Republican Governor working with a Democratic legislature has given 
us a model for addressing this problem. Last year, Governor Arnold 
Schwarzenegger signed into law Assembly Bill 650, the Earned Income Tax 
Credit Information Act. The bill was simple and straightforward. The 
law requires that California employers notify employees of their 
potential eligibility for the EITC when they send employees their W-2 
forms.
  Employers are uniquely positioned to help because they are already 
providing their employees with their W-2 forms that tell them their 
earnings for this year. This law simply piggy-backs on that requirement 
to help employees understand that they may be eligible to receive the 
EITC.
  Our legislation takes the California law and expands it to the rest 
of the country. Under our bill, employees throughout the country who 
earn enough to be eligible for the EITC will receive a notice from 
their employer with their W-2 form telling them about the program and 
how to learn more about it. Small businesses will not be affected by 
the bill and the proposal won't cost American taxpayers one single 
dime. It's a common sense way to ensure families who need it most get 
the benefits they deserve.
  I am hopeful that this legislation will be unnecessary. Today, Sen. 
Schumer and I will send a letter asking the Administration to 
accomplish this goal by executive order. Secretary Paulson is a 
supporter of EITC and I'm hopeful that he will build on his role during 
the economic stimulus debate and embrace this common-sense, fiscally 
responsible approach to providing hardworking Americans with additional 
fiscal relief.
  Finally, Wal-Mart, the Nation's largest employer, and the SEIU, one 
of the Nation's leading labor unions, are supporting the bill. They 
understand the importance of the EITC to their workers and members. In 
addition, the bill is supported by the Center on Budget and Policy 
Priorities, Citizens for Tax Justice, the Leadership Conference on 
Civil Rights, Corporate Voices for Working Families, the College and 
University Professional Association of Human Resources, TJ Maxx, 
Kindred Healthcare, and Cintas.

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