| WASHINGTON, D.C. – Today, Representatives Mike Carey (R-OH) and Danny K. Davis (D-IL) announced that they would be introducing the EITC for Older Workers Act. The bipartisan bill would eliminate the age cap for workers to qualify for the earned-income tax credit (EITC). Presently, the credit can only be claimed by workers between the ages of 25-65. “The workforce has changed significantly since the EITC was established in 1975. Many of us are working longer, and a rising retirement age should be reflected in the program,” said Carey. “As Americans work to keep up with rising prices, we are proud to lead this bipartisan, common-sense effort to give them a boost.” Nearly 16 percent of Ohioans ages 65 and older remain in the workforce. Moreover, a recent study reports that almost half of the workers born between 1946 and 1960 expect to work past age 70 or do not plan to retire. “I proudly join Rep. Carey in leading this bill to strengthen the Earned Income Tax Credit for older workers,” said Rep. Davis. “The current age limit of 65 fails to meet the needs and circumstances of older workers. By removing the age ceiling, this bill provides a critical work support to the roughly 2 million low-income workers aged 65 and older. The bill offsets federal payroll and income taxes, increases the economic well-being, and improves stability for older workers.” The legislation earned the support of the AARP and the Critical Labor Coalition. Bill Sweeney, Senior Vice President of Government Affairs for AARP, said “The EITC helps millions of people earn their way out of poverty, encouraging them to find and keep a job. Workers aged 65-plus represent the fastest-growing segment of the labor force. Removing this arbitrary age cap ensures that those who are eligible and choose to work do not have their taxes raised just because they turn 65. The EITC has an added benefit of bringing in revenues to businesses, states and local communities, which has a ripple effect throughout the economy. These dollars help to sustain local companies and workers by creating jobs, wages, and salaries immediately and in the future. This bill is a true win-win.” The Critical Labor Coalition wrote, “By permanently lifting the age limit for EITC eligibility, the EITC for Older Workers Act helps eligible seniors – many of whom need additional monetary support after retiring early – return to the workforce. It also addresses the ongoing labor shortage by supporting the reentry of experienced, hardworking individuals into the community. Thank you for introducing this important piece of legislation and helping to address the needs of both older workers and the U.S. economy.” Background The Earned Income Tax Credit (EITC) is a refundable tax credit for low- to moderate-income workers and families. Qualifying taxpayers can use the credit to reduce the taxes they owe. The credit amount is based on several factors, including the amount of income earned, the number of qualifying children, and the martial status of the individual. Text of the EITC for Older Workers Act is available here. |
WATCH: Congressman Carey honors late Rep. Dave Hobson on the House Floor
On Tuesday, Congressman Mike Carey (OH-15) honored late Ohio Representative Dave Hobson with a moment of silence on...