Inclusive Economy Lab Identifying Medicaid and SNAP Receiving Households in Illinois Who Do Not File Taxes
Illinois has a number of programs aimed at benefiting lower income families. Many allow direct enrollment, such as Medicaid or the Supplemental Nutrition Assistance Program (SNAP). However, some federal antipoverty programs, such as the Earned Income Tax Credit (EITC), are only available to households who submit tax filings. In addition, some state-level programs are designed to work in conjunction with federal credits, such as the Illinois Earned Income Credit (EIC). This program design is efficient in reaching households through the Internal Revenue Service (IRS), but it risks leaving out “Non-Filer” households – those who usually do not earn enough income to file taxes.
New America Chicago has been working with the Illinois Department of Revenue to provide pre-filled tax return information to households who received the federal EITC but did not file their state taxes. To expand their work, New America Chicago asked the Inclusive Economy Lab to identify the number of Illinois households who are enrolled in Medicaid and SNAP but do not file their federal or state tax forms. This brief identifies that approximately 54,147 households are enrolled in Medicaid or SNAP but do not file their income taxes. As a result, these families are not receiving a combined $24.9 million dollars of IL EIC payments.
Read our analysis prepared for New America Chicago here.
Identifying Medicaid and SNAP receiving households in Illinois who do not file taxes