Senate Committee Examines Tax Policy Impact Caregiving Workforce

On September18, 2024, the Senate Committee on Banking, Housing and Urban Affairs, subcommittee on Economic Policy held a hearing focused on The Macroeconomic Impacts of Potential Tax Reform in 2025 with expert testimony from Kitty Richards, Senior Fellow, Groundwork Collaborative; and Ai-jen Poo, President, National Domestic Workers Alliance; Executive Director, Caring Across Generations.

Richards' and Poo's testimony centered on the challenges of current tax law and the need to make substantive policy changes to ensure that the revenues benefit low- and middle-income earners, including those working in aging services. Both witnesses encouraged a rebalancing of the corporate tax structure and urged the end to the 2017 Tax Cuts and Jobs Act (TCJA) to fund infrastructure investments in the care economy. Subcommittee chair Sen. Elizabeth Warren (D-MA) urged Congress to make bold changes to the tax code to support families and develop the caregiving infrastructure across the U.S.