ANNAPOLIS, MD (February 1, 2007)-Stressing the need to help raise awareness of an important anti-poverty tool, Maryland Comptroller Peter Franchot today joined with political leaders and civic activists from across the state to celebrate the first "National Earned Income Tax Credit Day." The Comptroller was joined by State Delegate Sheila Hixson, State Senator Rich Madaleno, leaders of Maryland CASH Campaign and the Anne Arundel Community Action Partnership. In addition, the Comptroller announced the opening of several free tax preparation sites across the state.

"The EITC is the most effective anti-poverty tool we have," said Comptroller Franchot. "Behind the numbers, there are parents and children receiving a better life in Maryland because of the Earned Income Tax Credit. But working families must apply for the credit in order to receive the benefit. I am grateful for the support of Treasurer Nancy K. Kopp, our legislators, the Maryland CASH Campaign and Anne Arundel Community Action Partnership, who have taken up this cause on behalf of working families."

The Earned Income Tax Credit (EITC) is a significant tool for combating poverty and helping working families in Maryland move toward financial self-sufficiency. Nationally, the EITC provides more than $40 billion per year to 22 million working families, lifting 4.4 million Americans out of poverty. In Maryland, the federal EITC brings over $600 million per year to 340,000 working families, and the state-level EITC adds another $150 million.

Delegate Hixson and Senator Madaleno are introducing bills in this legislative session to boost the value of the Maryland Refundable EITC.

"We are proud that Maryland is one of the 20 states that augments the federal EITC with a state-level EITC," said Delegate Hixson. "But it's not enough. We still have hard-working families struggling to get by. That's why Senator Madaleno and I are sponsoring bills this session to increase the value of the Maryland Refundable EITC."

The EITC supports major public goals: welfare reform, community development, and workforce development initiatives.

"The EITC rewards work over welfare and provides the necessary additional income to help make entry-level jobs a viable alternative to welfare," said Jennifer Williams, Coordinator for Maryland CASH Campaign.

Nationwide, the EITC distributes more money than either Temporary Assistance for Needy Families (TANF) or Food Stamps and, in combination with the smaller Child Tax Credit, is almost as much as both these programs combined.

The Maryland CASH Campaign is working to ensure that all eligible Marylanders know about the EITC and know how to claim it. Toward that end, the campaign works with local partners to run free tax preparation services for low- and moderate-income taxpayers, statewide.

Brian Angus, Director of the Anne Arundel Community Action Partnership, runs the Anne Arundel CASH Campaign.

"It's important that people know about the EITC and can claim it without using predatory tax services," said Angus. "In addition, we hope to interest people in using their tax refund to build their financial future. We offer financial literacy courses and budget counseling that help work toward financial stability."

The Maryland CASH Campaign runs a statewide EITC outreach campaign and has free tax preparation sites serving 11 jurisdictions statewide. Taxpayers, statewide, can get information about EITC eligibility and free tax prep site locations, by calling the 2-1-1 hotline, United Way's First Call for Help (also at 1-800-492-0618), or by visiting www.marylandcash.org.

###

Contact:

Joseph Shapiro, Director of Communications
Comptroller's Office
Phone: 410-260-7305; Cell: 443-871-2244

Contact: Jennifer Williams, Coordinator
Maryland CASH Campaign - Creating Assets, Savings and Hope
Phone: 410-752-7588, ext 226; Cell: 410-371-4211