Sen Gounardes’ Working Families Tax Credit Would Benefit Every Part of New York State

FOR IMMEDIATE RELEASE: MARCH 27, 2025

New York, NY - New York State Senator Andrew Gounardes’ Working Families Tax Credit (S.2082/A.3474) would benefit working-class and middle-class families in every region of New York State, a new analysis finds.

According to the analysis conducted by Immigration Research Initiative—using data from the Institute on Taxation and Economy Policy and PolicyEngine—the proposal would produce:

• $1.5 billion in direct economic benefits annually to New York City, with more than 1 in 4 households (27%) receiving the Credit.
• $290 million in direct economic benefits annually to Long Island, with more than 1 in 5 households (21%) receiving the Credit.
• $288 million in direct economic benefits annually to the Hudson Valley, with more than 1 in 5 households (21%) receiving the Credit.
• $182 million in direct economic benefits annually to Buffalo and Western New York, with nearly 1 in 5 households (18%) receiving the Credit.
• $119 million in direct economic benefits annually to the Albany-Capital Region, with nearly 1 in 5 households (18%) receiving the Credit.
• $92 million in direct economic benefits annually to Syracuse and Central New York, with nearly 1 in 5 households (19%) receiving the Credit.

The Working Families Tax Credit, state legislation sponsored by State Senator Andrew Gounardes and Assemblyman Andrew Hevesi, is a bold proposal to tackle the state’s affordability crisis, slash child poverty and grow the middle class. The bill combines and expands existing tax credits to give families up to $1,600 per child, guarantee a $100 minimum credit per child and pay out the benefit quarterly instead of once per year. It would also be pinned to inflation, so support for families will grow even if costs rise. 

The analysis calls the Working Families Tax Credit “a better solution for more New Yorkers” compared to the existing Empire State Child Credit. Under the Governor’s recent proposal to expand the ESCC, a family of four with a toddler and school-age child that earns $65,000 annually would receive $1,500 under Governor’s proposal, while under the Working Families Tax Credit, they’d receive at least $3,200.

The Working Families Tax Credit—which is crafted to enable New York to meet its legally-mandated poverty reduction goals and stop working families from leaving the state— would slash child poverty nearly 17% and cut deep child poverty by 22% statewide, according to Policy Engine, which also found the proposal would increase the net income of more than a third of the state’s residents. The bill is also identical to the top recommendation of Governor Kathy Hochul’s expert Child Poverty Reduction Advisory Council.

The Working Families Tax Credit was included in both the State Senate and Assembly One-House Budget Proposals.

"Working families across New York are begging us to take action that will make life easier and more affordable. My Working Families Tax Credit is how we do that,” said State Senator Andrew Gounardes. “In every part of the state—the cities, the suburbs, and the countryside—working-class and middle-class parents are struggling to get by. My proposal puts money in their pockets to pay for essentials like groceries, rent, and childcare. In this moment, half-measures are not enough. If we want to tackle the affordability crisis, slash child poverty and grow the middle class, we have to be bold and we have to act now.”

Press Contact:

Billy Richling

Communications Director

State Senator Andrew Gounardes

billy@senatorgounardes.nyc

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