How you can help reclaim millions of dollars for low-income New Yorkers
Just a few hours with a New York Cares volunteer, and Keisha felt like she'd won the lottery. When Keisha, a 27-year-old single mom, found it impossible to make ends meet and care for her three children through her job at a local high-end deli, she started a hair braiding business on the side. Yet even with two jobs and countless hours of hard work, Keisha was earning just $9,000 a year. As tax season came around, Keisha was relieved to hear that free tax preparation assistance was available in her neighborhood. Having never filed a tax return, she was incredibly nervous when she sat down with a New York Cares volunteer to prepare her taxes for the first time. She was afraid to declare income from her hair braiding business for fear that she would have even less money to support her family. While she did owe a modest self-employment tax, this extra income actually made her eligible for the Earned Income Tax Credit and a much larger refund. In total, Keisha walked away knowing she would soon be receiving a check for $6,413 for the last several years. With an income of just $9,000 last year, this seemed like a lottery win to Keisha, but
she didn't have any plans to go on a spending spree. Keisha planned to spend this unexpected windfall on taking care of her family - keeping a roof over their heads, putting food on the table and perhaps buying some new clothes for the kids.
Keisha's story is not unusual. In fact, according to research by the General Accounting Office and Internal Revenue Service, between 15% and 25% of households who are entitled to the Earned Income Tax Credit do not receive it. Additionally, many of those who do apply pay for tax preparation services. The credit, which is designed to put much-needed money back into the hands of low-income families, can therefore be quickly eroded by Tax Preparation fees and refund anticipation loans. To enable more families to use every penny of their refund to meet basic survival needs, this year, we will once again be significantly expanding our Tax Preparation program, offering services at 4 different sites around the city. Volunteers will receive comprehensive training on how to prepare tax returns to maximize credits and returns and will provide free tax preparation assistance to low-income New Yorkers in the Bronx, Manhattan and Brooklyn.
Up to 25% of households who qualify for Earned Income Tax Credits do not apply to receive them.
Become a Tax Volunteer
In 2007, a dedicated group of 40 volunteers helped prepare over 2,300 tax returns and reclaimed a staggering $3.1 million in refunds and credits for low-income New Yorkers. For the coming tax year, we are looking for 70 volunteers to participate in this program and hope to greatly increase last year's impressive results. After mandatory orientation and training sessions, you will volunteer weekly or bi-weekly from February through April, helping to put much needed money into the hands of those who need it most.
Our volunteers helped reclaim $3.1 million in refunds and credits for 2006.
Yes, it is a significant commitment, but imagine how rewarding it is, telling someone like Keisha, who struggles so hard to make ends meet, that she will be receiving a check for more than two thirds of her annual income. By becoming a Tax Prep volunteer, you will have the opportunity to deliver news like this to dozens of New Yorkers in need.
How You Can Help
If you are interested in learning more about this program, register for one of our upcoming orientation sessions by visiting our Search Projects page or calling our Project Sign-Up Hotline at 212-402-1156.
Search Online: Project Type = Adult Education, Key Word = Tax
For More Information
Please contact Joan Ferreira, Manager,
Adult Education Programs at 212-402-1138 or Joan_Ferreira@nycares.org.
Just a few hours with a New York Cares volunteer, and Keisha felt like she'd won the lottery. When Keisha, a 27-year-old single mom, found it impossible to make ends meet and care for her three children through her job at a local high-end deli, she started a hair braiding business on the side. Yet even with two jobs and countless hours of hard work, Keisha was earning just $9,000 a year. As tax season came around, Keisha was relieved to hear that free tax preparation assistance was available in her neighborhood. Having never filed a tax return, she was incredibly nervous when she sat down with a New York Cares volunteer to prepare her taxes for the first time. She was afraid to declare income from her hair braiding business for fear that she would have even less money to support her family. While she did owe a modest self-employment tax, this extra income actually made her eligible for the Earned Income Tax Credit and a much larger refund. In total, Keisha walked away knowing she would soon be receiving a check for $6,413 for the last several years. With an income of just $9,000 last year, this seemed like a lottery win to Keisha, but
she didn't have any plans to go on a spending spree. Keisha planned to spend this unexpected windfall on taking care of her family - keeping a roof over their heads, putting food on the table and perhaps buying some new clothes for the kids.
In 2007, a dedicated group of 40 volunteers helped prepare over 2,300 tax returns and reclaimed a staggering $3.1 million in refunds and credits for low-income New Yorkers. For the coming tax year, we are looking for 70 volunteers to participate in this program and hope to greatly increase last year's impressive results. After mandatory orientation and training sessions, you will volunteer weekly or bi-weekly from February through April, helping to put much needed money into the hands of those who need it most.
