Highlights

• Child and Family Tax Credit
  • Provides the most generous universal child and dependent tax credit in the country.
  • Eliminates teh cap of two dependents and increases credit to $440 per dependent.
  • Benefits an estiamted 565,000 families
• Earned Income Tax Credit (EITC): Increased from 30% to 40% of the federal credit to provide critical support to working families
• Support for Housing and Renters
  • Increased statewide cap for the Housing Development Incentive Program (HDIP) from $10 million to $57 million on a onetime basis and then to $30 million annually to spur housing production.
  • Increased the cap on the rental deduction from $3,000 to $4,000.
  • Increased the Low Income Housing Tax Credit (LIHTC) annual program cap from $40 million to $60 million.
• Seniors: Doubles the maximum senior circuit breaker credit, which supports older residents struggling with high housing costs, from $1,200 to $2,400.
• Students: Exempts employer assistance for student loan repayment from taxable income.
• Agricultural Support
  • Increases the statewide cap for the dairy tax credit from $6 to $8 million
  • Expands the types of alcoholic drinks which qualify for a lower tax rate to help Massachusetts cider producers.