By Erin Kolb
Congresswoman Cheri Bustos supports a bill moving forward to the Senate to help preserve tax cuts for working families.
The bill, formally known as H.R. 2029, includes tax extenders to keep tax cuts for working families while providing economic incentives for local businesses.
The Earned Income Tax Credit (EITC) saved the average family thousands of dollars in 2013. Illinois is one of 26 states with EITC, according to the Center on Budget and Policy Priorities.
“Families with children received an average tax return of over $3,000 through the Earned Income Tax Credit in 2013, so I’m very pleased we were able to protect this tax cut into the future,” Bustos said.
This benefit package to working families includes a Child Tax Credit (CTC), an EITC and an American Opportunity Tax Credit (AOTC), which makes it easier to families to pay for college tuition.
The EITC also made it easier for farmers and local businesses to purchase heavy machinery and farming equipment from local manufacturers such as John Deere in Moline and Caterpillar in Peoria.
By raising the small business owners maximum tax deduction to $500,000, both farmers and these local manufacturers are to benefit.
The bill also includes a Jobs For Heroes Act, which was introduced by Bustos.
“We also have an obligation to help our veterans make the successful transition into the workforce,” Bustos said.
This act extends the twenty percent Employer Wage Credit EWC for employees called to active duty and adds a five-year extension to the Work Opportunity Tax Credit.
The WOTC promotes hiring veterans and active service members who, in the past, would have faced significant barriers regarding employment.