Volunteer tax program made impact despite early closure
by Angie Matthiessen, Executive Director – United Way of Charlotte County
If you haven’t noticed by now, you will be seeing my face weekly – in the Sun, that is. (I am trying to stay at least six feet away, so this will be as close as we get for a while!) This weekly column serves to highlight the great collective work being done in Charlotte County aimed at reducing poverty.
One thing you WILL notice is how frequently financial stability is a topic in these columns. It is one of United Way of Charlotte County’s (UWCC) top priorities.
For the past 7 years UWCC has offered free tax preparation services to eligible taxpayers to keep more money in the hands of low- and moderate-income households. This program is a win-win for Charlotte County, as it helps these households move closer to financial stability and it also stimulates the local economy. More money in the hands of our residents equals more money that can be spent locally.
The Volunteer Income Tax Assistance (VITA) program uses IRS-certified volunteer tax preparers who are trained to ensure taxpayers receive all the deductions and credits they qualify for. Putting together your own tax return can be a daunting task, and the thought of paying someone else potentially hundreds of dollars to do it for you can be just as overwhelming. UWCC provides VITA to ease this burden – both the mental burden but most importantly the financial burden.
Not only do taxpayers save by not paying a fee for tax preparation services, they also often receive new money in the form of the Earned Income Tax Credit (EITC) and the Child Tax Credit (CTC). We feel so strongly about the value these credits can bring, that we included it in our 2019-2022 Strategic Plan. One of our community goals under the umbrella of Financial Security is to increase the amount of Earned Income Tax Credit dollars provided to families through the VITA program.
As Benjamin Franklin once wrote, “In this world nothing can be said to be certain, except death and taxes.” Even COVID-19 could not stop the 2020 tax season, but it brought with it some changes. The U.S. government extended the tax-filing deadline to July 15, 2020, providing taxpayers three extra months to both file and pay their federal income taxes. However, social distancing and heightened safety precautions reduced options for in-person filing assistance. Even now, most volunteer tax preparation sites across the nation remain closed, including UWCC’s VITA operations.
Fortunately, our volunteer-led team was able to achieve our goal to increase EITC dollars brought in through VITA this tax season even with an abbreviated time frame. UWCC’s VITA program had 426 Federal tax returns accepted this tax season and we increased our total client EITC dollars from $103,306 in 2019, a full tax season, to $104,990 in 2020, which was cut short by four weeks. We are saddened that the pandemic brought our progress to an abrupt halt, but we are thrilled at how much our volunteer team was able to accomplish in a short time. We look forward to next tax season to further our impact on financial stability in Charlotte County.
For those who have not yet filed, free options are available to most taxpayers. United Way and H&R Block have partnered to offer MyFreeTaxes (www.myfreetaxes.com), which lets everyone with a simple return file their federal and state tax returns for free. You can also access www.irs.gov/freefile from a computer or smart phone for other no-cost tax preparation options.
For more information, please call the United Way of Charlotte County at 941-627-3539. Mission: Mobilizing the power of our community to break the cycle of poverty.
published July 12, 2020 - Port Charlotte Sun