Historical discrimination and ongoing structural barriers have locked women and people of color out of economic opportunity. Many tax provisions not only exacerbate economic inequality, but also amplify gender and racial disparities. But family tax credits like the federal Earned Income Tax Credit (EITC) and the refundable portion of the Child Tax Credit (CTC) especially benefit women of color and their families, boosting incomes and improving family well-being. And the Child and Dependent Care Tax Credit (CDCTC) helps working families offset the high cost of child care.

What’s at Stake Today

Refundable tax credits boost family incomes, reduce poverty, and improve health, educational, and future employment outcomes for children. Expanding refundable tax credits would help stabilize families and the economy overall during the recession. This would especially benefit women of color, who face even higher unemployment rates and whose incomes have plummeted since the pandemic struck.

What Is NWLC Doing?

We’re pushing to improve the EITC, especially for workers without qualifying children, and the CTC for families with low incomes. We’re advocating to make the CDCTC refundable so families with lower incomes can benefit. And we’re encouraging states to improve or enact their own family tax credits.