Federal and state individual income tax returns are due Tuesday, but as Ohioans close the books on a year鈥檚 worth of earnings, tax researchers and advocates are looking forward.
Policy Matters Ohio, a left-leaning research firm, is again advocating on Tax Day for a statewide child tax credit鈥攋ust days after one was nixed in , the two-year state budget.
Gov. Mike DeWine鈥檚 version of the biennial budget had a $1,000 per year and per child tax credit provided to parents through a child鈥檚 sixth birthday. It would be refundable, and at least some portion would be available to parents with a joint income of $94,000 or less, according to budget documents.
鈥淚鈥檝e not heard one member of the legislature, (who) I鈥檝e talked to at least, who doesn鈥檛 think that this is a very, very good idea,鈥� DeWine said earlier this month. 鈥淵ou have conservative thinkers, you have liberal thinkers who all come together and say, 鈥楾his is good. This is good for society. This is something that we need.鈥欌��
Creation of the child tax credit would have been funded by boosting taxes on cigarettes and other tobacco products. DeWine has proposed raising the per cigarette pack rate from $1.60 to $3.10, a $1.50 increase, and raising the wholesale tax on other products from 17% to 42%, according to budget documents.
House GOP lawmakers, however, rejected those requests in their version of HB 96, saying they didn鈥檛 want to raise any taxes. HB 96 is now in the Senate鈥檚 hands.
Bailey Williams, a researcher with left-leaning Policy Matters Ohio, called it unfortunate. Williams said the policy has proven a boon for parents at the federal level and in other states.
鈥淭hese credits are tax cuts, and it鈥檚 who we鈥檙e prioritizing who we get these tax cuts to, and whether they鈥檙e budget-busting handouts to the wealthy or targeted tax relief,鈥� Williams said Tuesday.
Sixteen other states have enacted child tax credits, some of which came post-pandemic, he said.
