SB22-182 would invest $4 million to create the Economic Mobility Program and put more money in families’ wallets
DENVER, CO - As part of Colorado Democrats’ ongoing work to save people money, Sen. Chris Hansen (D-Denver) and Rep. Lindsey Daugherty (D-Arvada) today introduced bipartisan legislation to help families save money on their tax filings.
Cosponsored by Sen. Don Coram (R-Montrose), SB22-182 would provide $4 million to create an Economic Mobility Program, which will help educate eligible Coloradans on how to file for and receive tax credits like the Child Tax Credit (CTC) and the Earned Income Tax Credit (EITC). This bill is one in a series of bills to invest millions into our state’s economic recovery and deliver urgently-needed relief to Coloradans.
“Colorado families have been hit hard by rising inflation, which is why we’re doing everything we can to make our state more affordable,” Sen. Hansen said. “This legislation will help families better understand and file for the tax credits they are eligible for, allowing them to keep even more of their hard-earned paycheck and get some money back on their tax returns.”
“In the last two years, we’ve significantly increased tax credits for hardworking families that are boosting their incomes by hundreds or even thousands of dollars a year,” said Rep. Daugherty. “The bill we’re introducing today will provide families with free tax filing assistance to claim the tax credits they’re owed so that no one leaves money on the table that is needed to pay their rent or feed their families.”
The bill will aim specifically to help low-income families and those disproportionately impacted by the pandemic by facilitating communication, training, and technical assistance in tax filing with state agency partners, public health agencies and community based organizations focused on economic mobility. This investment will increase awareness and enrollment in economic assistance programs available to low-income individuals and families.
It will also provide grants to nonprofits, local public health agencies, and other community based organizations that help people access economic support.
In 2020, Colorado Democrats passed legislation to increase the state earned income tax credit (EITC) from 10 percent to 15 percent of the federal EITC. In 2021, Colorado Democrats passed legislation to further increase Colorado’s EITC to 25 percent of the federal EITC and fund Colorado’s child tax credit for the first time, boosting the incomes of over 300,000 hardworking Coloradans.
SB22-182 will be heard in the Senate Finance Committee. Follow the bill’s progress HERE.