negative income tax
noun
: a system of federal subsidy payments to families with incomes below a stipulated level
Examples of negative income tax in a Sentence
Recent Examples on the Web
Those who are struggling need a helping hand: a negative income tax or family assistance plan — the brainchild of conservative economist Milton Friedman.
—
Armstrong Williams, Baltimore Sun, 18 Nov. 2024
In 1969, Nixon introduced the Family Assistance Plan, which would have provided additional cash to poor families through a negative income tax — cutting checks to the poorest Americans instead of them paying the government — of $1,600 (about $13,000 today) for a family of four.
—Megan Greenwell, Washington Post, 24 Oct. 2022
By the way, just to demonstrate how ignorant Scott is about federal taxes, almost everyone pays them; the lowest-income 50%, who pay no federal income taxes or have negative income tax bills, are billed for federal payroll taxes to fund Social Security and part of Medicare.
—Michael Hiltzik, Los Angeles Times, 3 Mar. 2022
In a negative income tax, a tax filer below the federal poverty line, adjusted for a geographic cost of living, would receive from the IRS the difference between the income filed and the poverty line.
—Elise Amez-Droz and Phillip Phan, STAT, 6 Oct. 2022
Second, for individuals with low incomes, these accounts could be funded in the same way as a negative income tax.
—Elise Amez-Droz and Phillip Phan, STAT, 6 Oct. 2022
If those receiving the negative income tax lost their job, the spell of unemployment lasted two months longer on average than with non-recipients and 12 months longer for married women.
—Milton Ezrati, Forbes, 15 Apr. 2021
Statistics from earlier federal pilot programs on negative income tax, a variant of UBI, are equally discouraging.
—Milton Ezrati, Forbes, 15 Apr. 2021
Between 1968 and 1980, Washington made four controlled trials of negative income tax, involving thousands of people across six states.
—Milton Ezrati, Forbes, 15 Apr. 2021
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Armstrong Williams, Baltimore Sun, 18 Nov. 2024
In 1969, Nixon introduced the Family Assistance Plan, which would have provided additional cash to poor families through a negative income tax — cutting checks to the poorest Americans instead of them paying the government — of $1,600 (about $13,000 today) for a family of four.
—Megan Greenwell, Washington Post, 24 Oct. 2022
By the way, just to demonstrate how ignorant Scott is about federal taxes, almost everyone pays them; the lowest-income 50%, who pay no federal income taxes or have negative income tax bills, are billed for federal payroll taxes to fund Social Security and part of Medicare.
—Michael Hiltzik, Los Angeles Times, 3 Mar. 2022
In a negative income tax, a tax filer below the federal poverty line, adjusted for a geographic cost of living, would receive from the IRS the difference between the income filed and the poverty line.
—Elise Amez-Droz and Phillip Phan, STAT, 6 Oct. 2022
Second, for individuals with low incomes, these accounts could be funded in the same way as a negative income tax.
—Elise Amez-Droz and Phillip Phan, STAT, 6 Oct. 2022
If those receiving the negative income tax lost their job, the spell of unemployment lasted two months longer on average than with non-recipients and 12 months longer for married women.
—Milton Ezrati, Forbes, 15 Apr. 2021
Statistics from earlier federal pilot programs on negative income tax, a variant of UBI, are equally discouraging.
—Milton Ezrati, Forbes, 15 Apr. 2021
Between 1968 and 1980, Washington made four controlled trials of negative income tax, involving thousands of people across six states.
—Milton Ezrati, Forbes, 15 Apr. 2021
Cite this Entry
“Negative income tax.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/negative%20income%20tax. Accessed 28 Feb. 2025.
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