Tipping Point Community partnered with California Policy Lab to try to increase the number of eligible Californians who claim the federal and state Earned Income Tax Credits (EITCs), which can provide a significant financial boost to low-income families.
In a series of randomized trials, more than one million Californians received ‘nudges’ to inform them about the credits. Although some people engaged with resources to learn more about the EITC, these efforts had no effect on increasing the number of people who filed a tax return or claimed the EITCs. This research provided critical learnings to understand the the barriers low-income households face in receiving their poverty-fighting tax credit.