While debate continues over whether the Republican tax plan will boost the middle class or help only the rich, the truth is that nobody yet knows. Too many details need to be worked out.

The Trump administration may have abandoned its call to help low-income families in this version of tax reform, but time still remains for the committees and the White House to ensure that it gets put back.

Most notably is how much of an increase in the Child Tax Credit (CTC) will be included and to what extent it will offset the elimination of personal exemptions and other deductions and credits. Authors of the plan were clear that middle-income families will benefit, but until we know the CTC amount, it’s too soon to tell.

One thing is clear, however. This tax plan is not designed to help low-income families. Low-income families mostly do not pay federal income taxes, so it might make sense that they are excluded from a tax overhaul.

But the tax system currently transfers income to low-income working families, largely recognizing that they pay other taxes (such as payroll) and that their earnings have stagnated while the costs for things like child care have gone up. Excluding these families from a tax-overhaul misses an opportunity to support them and their children.

Read the full article by Angela Rachidi at American Enterprise Institute