Take Advantage of the Earned Income Tax Credit

By Congressman Charlie Gonzalez

As we head into the last few weeks of tax season, I would like to remind you about one of the most effective tools the federal government has to help America's lower income families, the Earned Income Tax Credit (EITC.) 

First instituted in 1975, the EITC was devised as a temporary measure to defray Social Security payroll taxes for low income families and to encourage parents to work.  Made permanent in 1978, this program has lifted millions of families out of poverty and enabled them to invest in education, save for their future, or simply pay their bills. 

Numerous analyses of the EITC have shown it to be very successful and the single most effective federal initiative in helping Americans above the poverty line.  Actually, this tax credit does more for low-income working families than all other programs combined. Each year, the EITC helps an estimated 5 million deserving Americans.

For tax year 2004 alone, the EITC translated into an extra $288 million for San Antonio families.

Unfortunately, thousands of people who do the hard work that keeps San Antonio running smoothly are not taking advantage of the EITC.  Many eligible Americans including families here in San Antonio are simply not aware the program exists.  In fact, numerous independent studies have shown that low-income Latinos are the group that knows the least about the EITC and has the lowest participation rate. 

For some, tackling the necessary tax forms prevents them from taking advantage of the EITC, but, thankfully the United Way of San Antonio and Bexar County, in partnership with the City of San Antonio, Catholic Charities, Annie E. Casey Foundation and the IRS have organized the Volunteer Income Tax Assistance Program (VITA).

During last years tax season, over 20,000 returns prepared by qualified VITA volunteers resulted in $30 million to families in our community.  This year, at 26 VITA locations, volunteers will be available to help people file for the EITC.  However, to be helped, you must bring a Driver's License or Photo Identification Card, Social Security Cards or Individual Taxpayer Identification Numbers for all persons in your family, all W-2 Forms, and all 1099 Forms, if you have any. 

Please access the United Way's website at: http://www.unitedwaysatx.org/Pages/VITA%20Opener.html or call 211 or (210) 227-4357 for more information or for a location near you. 

I urge those who either are eligible or think they may be eligible for the EITC to visit a VITA location to take advantage of this program.  The EITC and VITA represent the best government can do, that is helping Americans who play by the rules to realize the American dream of a better life.