Lisa Gennetian and Colleagues Explore Predictors of EITC Receipt Among Hispanic Families

Lisa Gennetian and Colleagues Explore Predictors of EITC Receipt Among Hispanic Families

In a recent paper titled "Earned Income Tax Credit Receipt By Hispanic Families With Children: State Outreach And Demographic Factors" published in Health Affairs, DUPRI scholar Lisa Gennetian and colleagues Dana Thompson (Child Trends), Yiyu Chen (Child Trends), and Luis E. Basurto (Duke University) examine the factors linked to lower EITC receipt rates among Hispanic families. The Earned Income Tax Credit (EITC), the largest refundable tax credit for low-to-middle-income US families with children, has been shown to improve maternal and child health and reduce public spending on health. However, many eligible families do not receive it. This study used 2014 Survey of Income and Program Participation data to explore predictors of EITC receipt among Hispanic families, an understudied segment of the eligible population. The authors found lower likelihoods of receipt among Hispanic income-eligible families, even those who were eligible US citizens by naturalization, compared with their peers. Parent self-employment and lower English language proficiency were also associated with lower EITC receipt. With new data collected on state policies, the authors found that states’ granting of drivers’ licenses to undocumented people, availability of government information in Spanish, and employer mandates to inform employees were associated with greater EITC receipt among all income-eligible families, including Hispanic families. These findings showcase ways in which information and outreach at the state level can support the equitable receipt of tax refunds and similar types of benefits distributed through the tax system.