Working Families Tax Credit (WFTC)

Washington State’s version of the federal Earned Income Tax Credit (EITC), a program that helps balance our upside-down tax code in Washington, giving money back to the lowest income earners through a tax refund.

The WFTC is already law in Washington State – it’s just never been funded. Part of the strategy for advocacy is to fund the Working Families Tax Credit (HB 1527 Entenman/SB 5810 Nguyen) so that low income workers can start receiving that income boost. This legislative session, advocates are also working to expand the WFTC by including anyone who has an Individual Tax Identification Number (ITIN) for filing taxes, allowing undocumented workers who pay taxes to receive this benefit as well (HB 2521 Thai/SB 6557 Saldaña).

Recovering Together: Getting Cash to Communities

In the wake of the COVID-19 pandemic, our communities have been hit hard. Communities of color, undocumented folks, and those with low incomes are disproportionately impacted by the dual health and economic crisis. COVID-19 has exposed just how many people across the state were one paycheck away from being unable to meet their basic needs. People who were experiencing economic hardship before this crisis are falling further behind.

Federal action to expand unemployment protections and provide stimulus payments were important first steps, but too many people – especially undocumented workers – were excluded, and much more needs to be done to ensure everyone can meet their needs while staying safe. Learn more about why Washington must put cash assistance at the heart of its recovery plan: budgetandpolicy.org/schmudget/washington-needs-cash-stimulus/

The scale of this economic crisis warrants bold, unprecedented action from Washington state lawmakers. Now is the time for lawmakers to invest in a statewide Recovery Rebatedirect cash assistance for people with low incomes – including undocumented immigrants. This puts cash directly into the pockets of the people who drive our economy and who have been most impacted by the fallout of COVID-19.

Recovering Together means investing in communities: In light of the state’s revenue forecast in June, FAN signed on to this letter to lawmakers alongside more than 70 partners across the state for progressive revenue solutions.

Budget & Policy Center Resources:

WFTC Fact Sheet – in English and Spanish

WFTC Stimulus Infographic

Why WFTC? – “Investments Today Can Lead to a Better Health Tomorrow”

ITIN Fact Sheet (in English and Spanish)

ITIN Blog Post – “All taxpayers should be eligible for the Working Families Tax Credit”

WFTC Blog Posts and Fact Sheets – intersectional benefits of the WFTC