House Leadership Payroll Tax Proposal Puts Kids at Risk

Washington – Senior negotiators in the U.S. House of Representatives released a proposal Friday to offset the fiscal impact of a payroll tax holiday extension by cutting federal commitments to Medicaid, lowering federal non-defense domestic discretionary funding caps, and requiring that federal income tax returns claiming the refundable the Child Tax Credit (CTC) include the filer’s Social Security number. The CTC provision would weaken the economic stability of immigrant families that include up to 4.5 million U.S. citizen children. Tighter budget caps could affect kids’ initiatives ranging from educational support for children with disabilities to shelter and care for homeless kids. And cuts in Medicaid payment rates for hospitals – including children’s hospitals – simply shift the costs of needed care to families and small businesses. In response, First Focus Campaign for Children President Bruce Lesley released the following statement:

“With child poverty way up, Congress should be making it easier for parents to meet their children’s basic needs, not tying their hands with more red tape. Lawmakers shouldn't cast a vote for this proposal until they understand exactly how it will affect the children they serve.”

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Health Poverty & Family Economics Children of Immigrants Tax Policy Press Release

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