Governor Pulaalii Nikolao Pula has just sent to the Fono legislation that would bring American Samoa into compliance with the provisions of the American Recovery Plan Act of 2021. The bill would amend the Earned Income Tax Credit Statute.
The Governor said one of the most significant changes made to the tax code is the tripling of the credit for families with no eligible children. He said this was widely seen as a benefit to those who remain working, which is an imperative for maintaining our tax base and providing relief to all eligible filers.
He said with the release of W2 forms and residents beginning the preparation of their tax return filings, it is imperative that the territory remain in compliance with the federal law for the ultimate benefit of our people. He urged the Fono leaders and members to support this important legislation.
The bill would go into effect immediately after it’s approved by the Fono and signed by the Governor. Passage of the bill is necessary before the filing of 2025 tax returns can begin.
Last month the Acting Treasurer Carri-Lee Magalei-Tulafono announced that the 2025 income tax filing forms would be available in the week beginning March 9.
She said the Child Tax Credit is raised from $500 to $2,000 and the Additional Child Tax Credit is raised from $1,400 to $1,700 per qualifying child. Also the Additional Child Tax Credit will no longer be limited to taxpayers with 3 or more qualifying children. Instead taxpayers with 1 or 2 qualifying children would now receive the ACTC.
