Gov. Josh Shapiro is urging Pennsylvanians to take advantage of a new state tax credit aimed at providing relief to low-income working families as the April 15 tax deadline approaches.
The Working Pennsylvanians Tax Credit (WPTC), created as part of the 2025-26 state budget, is expected to deliver up to $805 to eligible residents. State officials estimate the program could benefit approximately 940,000 Pennsylvanians, returning about $193.5 million in tax relief.
Modeled after the federal Earned Income Tax Credit, the WPTC equals 10 percent of the federal credit. Anyone who qualifies for the federal program is automatically eligible for the state credit when filing both federal and Pennsylvania tax returns. The Department of Revenue calculates the credit automatically, simplifying the process for taxpayers.
Officials say the program marks the first new state tax benefit targeted specifically at low-income residents in more than 50 years. The initiative is designed to help offset rising costs for essentials such as food, housing and transportation.
To help residents claim the credit, the administration is promoting free tax preparation services across the state. Programs such as the Campaign for Working Families, which operates through the Volunteer Income Tax Assistance network, offer no-cost help to eligible taxpayers. Last year, the organization assisted with more than 36,000 federal returns and 33,000 state returns, securing millions in refunds.
Early participation figures suggest strong uptake. Nearly 493,000 Pennsylvanians have already filed for the credit, resulting in about $126.9 million returned to taxpayers so far. That includes more than $25 million distributed to roughly 87,000 residents in Philadelphia.
The amount individuals receive varies based on income and family size. For example, a single parent with three children earning about $23,300 could receive the maximum $805 credit, while families with higher incomes may receive smaller amounts. Married couples with children also qualify, with benefits scaled according to earnings and dependents.
State leaders say the credit is part of a broader effort to reduce financial strain on working families. The program builds on other initiatives aimed at lowering costs and increasing economic stability, including expanded property-tax and rent-relief measures.
Source: pa.gov