Rep. Welch Sponsors Legislation to Provide Tax Relief for Working Families

SPRINGFIELD, IL – Middle-class families would be able to keep more of their hard-earned money under legislation sponsored by state Rep. Chris Welch, D-Hillside, doubling the value of the Earned Income Tax Credit. The Welch-backed bill is a key element of an economic reform agenda introduced by House Democrats.

“It’s time that we put Illinois’s middle-class first and do what is best for them and their families,” said Welch. “The policies that the governor continues to promote are not creating jobs, are not growing the economy and are not uplifting the middle class. They are being squeezed out of existence, and it is time we refocus on them versus padding the profits of big businesses through this chaos the governor has created.”

Welch is sponsoring House Bill 2475, which would double the value of the state’s Earned Income Tax Credit over the course of five years, raising the value of the credit by 2 percent every year. Each 2 percent increase would put an estimated $44 million back in working families’ pockets. Additionally, the U.S. Conference of Mayors indicates that every $1 returned to taxpayers through the Earned Income Tax Credit generates between $1.50 and $2 in economic activity, helping local businesses grow.

The measure is a key element of an economic reform agenda recently introduced by House Democrats this year. Welch and her colleagues are pushing for reforms that grow the economy while also strengthening the middle class. Rather than padding the profits of corporations by reducing middle-class wages and slashing the rights of Illinois’ workers, Welch and the House Democrats are working to level the playing field for small and medium-sized employers, raise the minimum wage, invest in education at all levels and outlaw taxpayer-funded incentives for businesses that outsource local jobs.

“The best way to grow our economy and strengthen the middle class is by pursuing tax reform policies like these,” said Welch. “By allowing middle class families to keep more of their hard earned money will allow them to spend more on goods and services, which will grow the economy and the middle class.”