WASHINGTON – As the tax package passed the House, Economic Security Project Action and 215 national, state, and local leaders sent a letter to leaders in both chambers of Congress calling out the dangers of the package for children and urging lawmakers to side with America’s kids and families.  Every Democrat in the House opposed the bill and members of the Senate still have the opportunity to oppose a bill that forces millions of more kids into economic insecurity.  A wide array of labor, food banks, children’s advocacy groups, health, civil rights, disability rights, economic justice, faith and immigrants’ rights organizations came together to oppose this sweeping piece of anti-family legislation. In addition to gutting health and food security programs to pay for another set of tax breaks for billionaires and corporations, the bill’s Child Tax Credit and Earned Income Tax Credit provisions will leave many families worse off.

Republicans misleadingly claim their new plan will expand the Child Tax Credit when, in reality, this policy narrows eligibility and this CTC could push 2 million children into or deeper into poverty, according to analysis by the Economic Security Project. The CTC proposal in this bill would:

• Prevent nearly 20 million kids from accessing the full credit because their family income is too low.
• Kick off 4.5 million American kids in mixed-status families who are currently eligible for the credit, just because their parents are immigrants. 
• Raise the credit for higher-income families who already have enough while excluding those with the highest need. 

This bill would also put up difficult and unnecessary burdens for families to claim the Earned Income Tax Credit—effectively a kind of audit on every EITC recipient with children—while simultaneously handing out trillions in tax cuts to high earners and cutting over $1 trillion from Medicare and Medicaid.  While wealthier people would be better off under this bill, those making less than $51K would be worse off.

“This Billionaire Tax Scam rolls out the red carpet for the rich, but red tape for working- and middle-class families.” said Adam Ruben, Director of Economic Security Project Action. “Instead of expanding the CTC and EITC to put cash straight back into the hands of families who are struggling to get by and get ahead, this bill enriches the wealthy and corporations and leaves most families behind, pushing millions more kids into poverty. The Senate should focus on bringing down costs, delivering for families and making billionaires pay their fair share.”