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Bill > S3542


US S3542

US S3542
COVID-19 Earned Income Act


summary

Introduced
03/19/2020
In Committee
03/19/2020
Crossed Over
Passed
Dead
12/31/2020

Introduced Session

116th Congress

Bill Summary

A bill to provide COVID-19 related assistance through a special earned income rule for purposes of the refundable child and earned income credits for taxable year 2020. This bill sets forth a special rule for determining the amount of the earned income tax credit and the refundable portion of the child tax credit. Specifically, the bill allows a taxpayer to use the earned income of the preceding taxable year in computing such credits if such income is greater than the income for the current taxable year (i..e., 2020).

AI Summary

This bill, the COVID-19 Earned Income Act, provides COVID-19 related assistance through a special earned income rule for the purposes of the refundable child tax credit and earned income tax credit (EITC) for the 2020 tax year. Specifically, the bill allows taxpayers to use their earned income from the previous tax year (2019) to calculate these credits if their 2020 earned income is lower, in order to help offset the financial impact of the COVID-19 pandemic.

Committee Categories

Budget and Finance

Sponsors (2)

Last Action

Read twice and referred to the Committee on Finance. (on 03/19/2020)

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