FY27 Budget Plan Proposes Eliminating ITOC and WFIS Tax Credits

As part of her FY27 budget proposal, Council President Natali Fani-González is proposing the elimination of two existing tax credits: the Income Tax Offset Credit (ITOC) and the Working Families Income Supplement (WFIS). Fani-González argues the proposed progressive income tax structure would provide broader relief than the existing credits, which are limited to eligible residents. She notes that 83% of households earning under $50,000 do not currently benefit from the Earned Income Tax Supplement, a benchmark for WFIS eligibility.