Dan Coats: “Let me point out, Mr. President, that three-quarters of the children eligible for the credit live in families with a…”

“Let me point out, Mr. President, that three-quarters of the children eligible for the credit live in families with a gross income of less than $60,000 a year. That is where the relief will flow. That is where the needs are the greatest. We need to understand, also, that while it is designated as a tax credit, we have in place programs that will meet the needs of many of those who are earning below $16,000 a year. That is where the earned income tax credit comes in. It is an important program for a family of two earning below $16,000 a year. Their entire Federal tax burden is erased by the earned income tax credit. We are targeting those who are caught in the middle, those who have not been granted the relief we have provided for low-income families, who are struggling to meet the daily needs and expenses of their children. This leaves a significant amount of money in the hands of families. It returns money to the States and to individuals and allows them to make decisions on how they will spend it.”