Higgins Applauds Making Work Pay Tax Credit Which Takes Effect Today (April 1)
Congressman Brian Higgins (NY-27) applauded the Making Work Pay Tax Credit, which becomes effective today, Wednesday, April 1, 2009 and will provide over 110 million middle class working families with additional take home pay totaling up to $400 per person and $800 for married taxpayers annually in 2009 and 2010.
“Every little bit helps for Western New York’s hard working families who have suffered a significant blow due to this sweeping financial crisis,” said Congressman Higgins. “This provides taxpayers some relief and will invest new money into the local economy.”
Authorized through the Recovery Act, the Making Work Pay Tax Credit will put 3.4 billion dollars back into the pockets of 7 million taxpayers in New York State alone. On average, families will see $65 per month in increased take home pay.
Approximately 95 percent of Americans will see relief under this program. The credit phases out for individuals earning in excess of $75,000 annually and married couples earning over $150,000.
The IRS guidance asked employers to institute the lower withholdings for their employees by April 1, 2009.