New Tax Credit Outreach Targets Working Families

Pennsylvania Department of Revenue

HARRISBURG, PA — Pennsylvania officials are contacting more than 200,000 residents receiving public benefits to inform them about a new state tax credit that could reduce their tax bills or increase refunds this filing season.

What This Means for You

  • A new state tax credit could provide up to $805 to eligible taxpayers.
  • Anyone who qualifies for the federal Earned Income Tax Credit automatically qualifies.
  • The state is contacting Medicaid and SNAP recipients who may be eligible.

The Pennsylvania Department of Revenue and Department of Human Services announced a joint outreach effort to promote the Working Pennsylvanians Tax Credit, a new state tax benefit created in the 2025–26 state budget.

The credit is designed to provide financial relief to low- and moderate-income workers by reducing their state income tax liability or increasing their refund.

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Officials say the new credit is expected to deliver approximately $193 million in tax relief to about 940,000 Pennsylvanians during the current tax filing season.

“We are following Governor Shapiro’s lead and doing everything we can this tax season to put money back into the pockets of hardworking Pennsylvanians,” said Revenue Secretary Pat Browne.

Who May Qualify

The outreach effort includes emails sent to more than 200,000 Pennsylvanians who already receive public benefits such as Medicaid and the Supplemental Nutrition Assistance Program.

Officials said many of those individuals may also qualify for the new tax credit based on income and family size.

The Working Pennsylvanians Tax Credit is modeled after the federal Earned Income Tax Credit, a long-standing program that provides tax relief to lower-income workers.

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Under the new program, the state credit equals 10 percent of the federal credit amount.

Anyone who qualifies for the federal Earned Income Tax Credit automatically qualifies for the Pennsylvania credit.

Potential Tax Benefits

Eligible taxpayers may receive up to $805 through the new program.

Officials said the credit can provide financial support to workers and families with lower incomes, particularly those balancing employment with rising living costs.

“Many Pennsylvanians receiving Medicaid, SNAP, and other benefits are working hard every day to support themselves and their families,” said Department of Human Services Secretary Dr. Val Arkoosh.

Filing Deadline and Information

Officials said residents must file a Pennsylvania tax return to claim the credit.

The state encourages eligible taxpayers to file before the April 15 tax deadline.

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More information and an eligibility calculator are available at:
https://pa.gov/wptc

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