Philadelphia, PA – Today, Governor Josh Shapiro and Pennsylvania Department of Revenue (DOR) Secretary Pat Browne visited the tax preparation clinic run by the Campaign for Working Families (CFW) at CHOP Karabots Pediatric Care Center in Philadelphia with legislative and community leaders to encourage eligible Pennsylvanians to take advantage of the Working Pennsylvanians Tax Credit (WPTC) as they file their taxes prior to this year’s April 15th tax deadline so they can receive more money back as part of their tax refunds.
One of seven tax cuts the Governor has secured since taking office, the WPTC was created in the 2025-26 budget and is expected to put as much as $805 back into the pockets of approximately 940,000 hardworking Pennsylvanians, easing the burden of rising costs for families across the Commonwealth.
“We know Pennsylvanians are feeling the impact of rising costs at the grocery store and the gas pump, but as the federal government makes their lives harder, my Administration is cutting taxes and lowering costs for working families,” said Governor Shapiro. “No one should have to worry about putting food on the table and that’s why I took action to secure the Working Pennsylvanians Tax Credit — the seventh tax cut my Administration has delivered since taking office — and I want to make sure every Pennsylvanian who is eligible, will benefit.”
With the WPTC in effect, for the first time in more than 50 years, the Commonwealth has authorized a new tax benefit specifically for low-income Pennsylvanians. Modeled after the federal Earned Income Tax Credit (EITC), the WPTC equals 10 percent of the federal credit and anyone who qualifies for the federal EITC will be automatically eligible for both credits.
“For more than 50 years, state government did not advance a new initiative in our tax system to address poverty and assist working families — until now. This is truly a landmark improvement for our tax system that offers a powerful new initiative to improve the quality of life for nearly 1 million Pennsylvanians,” said Revenue Secretary Pat Browne. “Governor Shapiro and all the members of our team at the Department of Revenue are working hard to get the word out about the WPTC and make sure that $193.5 million gets into the hands of eligible Pennsylvanians this tax season.”
The Governor is urging Pennsylvanians to check their eligibility for the WPTC and take advantage of the tax-filing resources that are available across the Commonwealth — like CFW’s and CHOP’s tax preparation clinic — where volunteers are ready to help people file their returns for free and claim their available tax relief, including dollars distributed through the WPTC.
“At Children’s Hospital of Philadelphia, we know children’s health is shaped by more than medical care alone, and when families have the resources they need, kids are healthier and better able to thrive,” said Dr. Joseph Mitchell, President of Children’s Hospital of Philadelphia. “To put real money back into the pockets of working families and help cover everyday essentials is so important. We’re grateful for Governor Shapiro's leadership on this.”
About the Working Pennsylvanians Tax Credit
Pennsylvanians qualify for the Working Pennsylvanians Tax Credit based on income and number of dependents. The maximum state credit is $805.
- When Pennsylvanians file their federal and state taxes together this tax season, the Pennsylvania Department of Revenue will automatically calculate the state credit.
- Anyone who qualifies for the federal EITC will automatically qualify for the state credit, helping reduce taxes owed and put more money back in hardworking Pennsylvanians’ pockets.
- Free tax preparation services support Pennsylvanians with filing assistance, including the Campaign for Working Families in Philadelphia and southern New Jersey regions. The organization works through the Volunteer Income Tax Assistance (VITA) program to organize volunteers to annually help people with their tax obligations. Last tax season, the Campaign for Working Families assisted with the filing of over 36,000 federal tax returns and over 33,000 state tax returns, securing $37 million in federal tax refunds and $6 million in state tax refunds for their clients.
While visiting the tax clinic, Governor Shapiro heard from local leaders and residents who highlighted the necessity of relief offered by the WPTC.
“Pennsylvanians have already seen the Shapiro Administration expand property tax and rent relief, make real investments in the workforce, and work to reduce cost burdens for low-income households,” said Dr. Nikia Owens, President and CEO of Campaign for Working Families. “This new tax credit strengthens that support, and CWF is immensely grateful for Governor Shapiro’s clear commitment to equity and long term economic mobility as he continues to deliver real results for working families across the Commonwealth.”
“I’m a single mother of three working in healthcare and like many families, I live paycheck to paycheck,” said Stephanie Ward, a Philadelphia-based healthcare worker and mother of three. “This new tax credit eases that burden and has truly been a blessing to improve my family’s quality of life. I’m grateful for Governor Shapiro’s work to get this passed.”
Putting Money Back Into the Pockets of Pennsylvanians
As of this week, the Shapiro Administration is more than halfway to its expected $193.5 million in total tax relief from the WPTC, secured in the 2025-26 budget.
Nearly 493,000 Pennsylvanians claiming the WPTC have filed their taxes with DOR, delivering $126.9 million to people who have claimed the new credit — which includes more than $25 million for roughly 87,000 Philadelphians who have already filed their taxes.
For eligible Pennsylvanians:
- A single working parent with three children earning $23,300 would receive the maximum of $805.
- A single working parent with two children who earns $50,000 per year would receive a maximum of $154.
- A single working parent with three children who earns $45,000 per year would receive a maximum of $349.
- A married couple with two children making $30,470 would receive $715.
- A married couple with three children making $60,000 would receive $183.
“Thank you, Governor, for your leadership in getting this done,” said Senator Vincent Hughes, Senate Democratic Appropriations Chair. “It took some work, but we got it done for every Pennsylvanian, and we’re excited for our working families to get money back into their pockets. There are so many resources available across Pennsylvania and we want people to take advantage of them.”
“Governor Shapiro’s leadership is what we need in Pennsylvania and beyond,” said Representative Amen Brown, PA’s 10th House District. “This is hard work, but we wake up every morning and do it because we know that any support like this new tax credit helps. I look forward to continuing this work and I hope working Pennsylvanians go get their money.”
This chart shows the maximum federal EITC and the corresponding maximum Working Pennsylvanians Tax Credit — equal to 10 percent of the federal amount — along with the estimated number of Pennsylvanians who will benefit this tax season.
ESTIMATED BENEFICIARIES — Tax Filing Year 2025 | |||
Federal EITC Amount of Credit Maximum | Working Pennsylvanians Tax Credit Maximum | Pennsylvanians Benefiting
| |
Qualifying Dependent(s) Claimed | Maximum Federal Credit | Maximum State Credit | Number |
Zero | $649 | $65 | 261,739 |
One | $4,328 | $433 | 314,291 |
Two | $7,152 | $715 | 230,575 |
Three or more | $8,046 | $805 | 133,641 |
Total |
|
| 940,246 |
Building on Three Years of Progress
The Working Pennsylvanians Tax Credit builds on six additional tax cuts Governor Shapiro has enacted since taking office:
- Expanding the Property Tax/Rent Rebate (PTRR) program — the largest targeted tax cut for seniors in nearly two decades. Last year, more than 513,000 Pennsylvanians received nearly $315 million dollars in rebates.
- Creating the Employer Child Care Contribution Tax Credit to help businesses support working parents.
- Expanding the Child and Dependent Care Enhancement Tax Credit — now matching 100 percent of the federal credit. Last year, this credit delivered $139 million to nearly 222,000 working families.
- Allowing student loan interest deduction up to $2,500.
- Lowering the Corporate Net Income Tax (CNIT) — saving businesses more than $2.9 billion, with the rate continuing to drop.
- Increasing Net Operating Loss (NOL) deductions to help small businesses grow.
Read the Governor’s 2026-27 proposed budget in brief here.
Watch Governor Shapiro’s full budget address to a joint session of the House and Senate here and read the Governor’s full remarks as prepared for delivery here.