• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
Kentucky Center for Economic Policy

Kentucky Center for Economic Policy

   

  • About Us
  • Press Room
  • Donate
  • Summer Policy Institute 2023

Research That Works for Kentucky

  • Topics
    • Budget & Tax
    • Criminal Justice
    • Economic Security
    • Education
    • Health Care
    • Jobs & The Economy
  • Types
    • News
    • Op-Ed
    • Research

   

  • About Us
  • Press Room
  • Donate
  • Summer Policy Institute 2023

Copyright © 2023 KyPolicy Privacy Policy Terms & Conditions Sitemap

Press Release

Federal Proposals Would Extend Tax Breaks for a Handful of Wealthy Kentuckians While Ending Support for Many Working Families

Jason Bailey | October 15, 2012

New Report from the Center on Budget and Policy Priorities  

Federal Proposals Would Extend Tax Breaks for a Handful of Wealthy Kentuckians

More On Budget & Tax: Shorting State Workers’ Pay Hurts Us All

While Ending Support for Many Working Families

Recent proposals from Congressional Republican leaders would extend lucrative tax breaks for 50 multi-million-dollar estates in Kentucky (0.1% of Kentucky’s estates) while letting tax improvements expire for 183,209 moderate-income Kentucky families with 332,944 children, according to a new report from the nonpartisan Center on Budget and Policy Priorities.

The proposals would continue an estate tax cut Congress enacted in 2010 that would benefit a tiny fraction of the wealthiest estates nationwide while expanding budget deficits by $141 billion over ten years. But the proposals would not continue vital tax credit improvements for millions of working families including the Child Tax Credit (CTC), the Earned Income Tax Credit (EITC) and the American Opportunity Tax Credit (AOTC). Failure to extend these tax credit improvements would push over a million people, including 900,000 children, into poverty nationwide.

“Kentucky’s federal delegation should reject plans that would increase poverty while giving big tax breaks to just 50 of Kentucky’s wealthiest estates,” said Jason Bailey, Director of the Kentucky Center for Economic Policy. “Refundable tax credits improve the lives of over 183,000 Kentucky working families, including many children. They should not be asked to sacrifice more to provide yet another tax break to those with the greatest wealth.”

In 2010, Congress passed a generous, temporary estate tax cut for the wealthiest estates, providing them with a windfall of an additional $1.1 million on average. This significant cut followed nine years of reductions in the estate tax which quadrupled the amount that heirs can receive tax-free.

Proposals from the leadership of the House and Senate would continue this generous exemption, while failing to continue tax credit improvements for working families that Congress extended at the same time it cut the estate tax. Those improvements are scheduled to expire December 31.

###

The Center’s full report can be found at: http://www.cbpp.org/cms/index.cfm?fa=view&id=3850.

FacebookTweetLinkedInEmail

Primary Sidebar

Get KyPolicy news updates in your inbox

Sign Up

Sidebar

Perspectives

Shorting State Workers’ Pay Hurts Us All

Cutting Bourbon Industry Taxes Harms the Communities That Sustain It

Lawmakers Should Help Our Kids, Not Lock More Up in Failing Juvenile System

Income Tax Reduction Is Another Blow to Rural Kentucky

Kentucky Should Not Volunteer for Greater Inequality by Becoming More Like Tennessee

Other Budget & Tax Items

IMG 0311

Press Release

What Could Kentucky Do With $1.2 Billion a Year? 

Press Release

‘Transformational’ or a ‘Reckless’ Spending Spree? A Kentucky Economic Think Tank and the State’s Leading Republican Take on Democrats’ Latest Legislation

Press Release

“Nothing Like This in the Country.” “Enormous” West End TIF District Would Be Kentucky’s Largest.

Ky. Policy

Footer

Research that works for Kentucky

433 Chestnut Street, Berea, KY 40403

Phone: 859-756-4605

General information and inquiries: info@kypolicy.org

   

Help us make the facts free and accessible to everyone. That’s how Kentucky will thrive.

Donate

  • Topics
    • Budget & Tax
    • Criminal Justice
    • Economic Security
    • Education
    • Health Care
    • Jobs & The Economy
  • Work
    • News
    • Op-Ed
    • Research
  • About Us
  • Press Room
  • Contact

Get KyPolicy news updates in your inbox

Sign Up

Copyright © 2023 KyPolicy Privacy Policy Terms & Conditions Sitemap

made by P&P
Share this ArticleLike this article? Email it to a friend!

Email sent!