The Senate Revenue and Taxation Committee supported a bill that would create a new state tax credit for very low-income workers who come from families with a history of poverty.
HB57 is now awaiting a Senate floor vote. The bill, already passed by the House, would allow about 25,000 people to claim a credit of up to $600 a year, 10 percent of the federal version of the Earned-Income Tax Credit. The bill would cost the state about $6 million.
If senators approve the bill on a first vote, it will be held for final passage until later in the session because of its price tag.