Reaping the Benefits of Work: A Tax Credit for Low-Income Working Families in Puerto Rico
Puerto Rico has to overhaul its anti-poverty strategy, moving away from programs that create dependency towards programs that promote self- sufficiency. Current government welfare programs are particularly ill-designed for working poor families. Moreover, regressive excise and Social Security taxes are detrimental to low-income families trying to make ends meet. An Earned Income Tax Credit Program is a promising route towards improving the standard of living of Puerto Rico’s low-income working families.