However Labour MP Anne Begg, who sits on the Work and Pensions Select Committee at Westminster, said the government's pension creditsystem was addressing the issue and "lifting poor pensions out of poverty".
Federal tax credit: The federal government offers a 30% investment tax credit on the cost of the system after rebates. (The credit is higher in Denver, for example, because there is no state or utility rebate.) To claim the full credit, your tax bill must be bigger than the credit.
Universal credit - the government's flagship plan to reform the benefits system - could even make it easier for EU migrants to claim benefits, he warned.