1. The Republican leaders eliminated the state Earned Income Tax credit in 2014 and decreased the amount of the credit in 2013.  This credit, which is a part of the tax code, provides extra money for low income North Carolinians who work.  Qualifying for the benefit depends on adjusted gross income and the number of qualifying children.  For families filing jointly, the maximum adjusted gross income is $51,567 with three or more qualifying children, $48,378 with two qualifying children, $43,210 with one qualifying child, and $19,680 with no qualifying children.  The loss of this benefit affects the 900,000 poorest working families in North Carolina.
  2. Changes made by the Republican leaders in the state income tax and sales tax system will result in many low income families having even less money than before the changes were made.  The elimination of several deductions, the elimination of personal exemptions, the elimination of the earned income tax credit, and the imposition of sales taxes on items that were previously not taxed will result in many low income families paying more in taxes.  (This increase in taxes on low income families was part of what the Republican leaders found necessary to provide a decrease in taxes paid by high income families.)
  3. The Republican leaders also rejected efforts to increase the minimum wage in North Carolina, which stands at $7.25 an hour ($15,080 annually for a worker who works 40 hours a week for 52 weeks).  It has stood at this level since 2010, and the Republican leaders have decided not to index it to inflation.  At the national level, Republican leaders in Congress have also blocked efforts to increase the national minimum wage.

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