The USA does effectively have a negative tax rate at that level with EITC, that's what he's saying. $9/hr * 2080 hours = $18,720 After deductions that's $6,520

The USA does effectively have a negative tax rate at that level with EITC, that's what he's saying. $9/hr * 2080 hours = $18,720 After deductions that's $6,520 of taxable income. Eligible for EITC so a tax rate of negative $3,526. So if they paid zero federal income tax all year they'd get a "refund" check of $3,526 (except its not a refund, since they paid zero, its a negative tax rate) You can see here: https://www.calculator.net/tax-calculator.html?cfilestatus=Single&callowance=0&callowanceold=0&ctaxyear=2019&csalaryincome=18720&cwithheld=00&csalarystate=0&csalarylocal=0&chasbusiness=no&cbusinessincome=0&cestimatedtax=0&cmedicarewage=0&csalaryincome2=0&cwithheld2=0&csalarystate2=0&csalarylocal2=0&chasbusiness2=no&cbusinessincome2=0&cestimatedtax2=0&cmedicarewage2=0&cinterestincome=0&cordinarydividends=0&cqualifieddividends=0&crentalincome=0&cshortcapitalgain=0&clongcapitalgain=0&cotherincome=0&cstatetaxrate=0&cira=0&csalestax=0&cmortgage=0&cdonations=0&cstudentloan=0&cchildcare=0&ctuition=0&ctuition2=0&ctuition3=0&ctuition4=0&cotherdeductable=0&printit=0&x=53&y=24 https://www.calculator.net/tax-calculator.html?cfilestatus=S...