Take Advantage of the Earned Income Tax Credit

 April 15th is right around the corner and throughout our community people are preparing tax returns.  Yet, too many eligible families in San Antonio do not take advantage of an important federal tax program. 

The Earned Income Tax Credit (EITC) is designed to help low-income working individuals and families. Eligible filers can get back most of what they paid in federal income tax from their paycheck during the year. In 2003, income from the EITC lifted about 5 million people, half of them children, above the federal poverty line. 

Last year, $288 million in EITC benefits went to working families and individuals in San Antonio.  But, a Texas Perspectives, Inc. study shows that 23 percent of eligible San Antonio families do not file for it.  This means more than $85 million goes unclaimed by people who deserve this help. Hopefully, this will change this year.  I encourage anyone who thinks he or she may qualify to find out their status.

Who’s eligible, you might ask?  Two-parent families with more than one child that earned under $37,263 last year may be able to receive up to $4,400 back under the EITC.  Eligibility is determined by level of income, marital status and the size of the family.

Also, legal immigrants are allowed to take advantage of the EITC.  While the Republican controlled Congress has denied legal immigrants access to food stamps and Social Security Insurance, the EITC is still available to all qualified filers.  And, this includes legal immigrants who have had federal taxes taken out of their paychecks. 

There is help available for those who think they may qualify but find tax forms daunting or speak English as a second language.  The City of San Antonio has kicked off their Volunteer Income Tax Assistance (VITA) program, which provides free tax preparation assistance for households with income up to $40,000.  The trained tax-preparers will file returns electronically, which cuts down the wait for the return to 7-10 days. 

The City and the San Antonio Coalition for Economic Progress (SACFEP) have opened 25 VITA centers throughout San Antonio and these will be open nights and weekends.  You will need the following items for the tax-preparers: all W-2 forms or 1099 forms, if applicable, a valid driver’s license or photo I.D., Social Security cards or Individual Taxpayer and Identification Numbers for all family members; Finally, if you’re filing jointly with your spouse, both of you must be present. 

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

The EITC helps lift working Americans above the poverty line.  This program is one of the best weapons we have in helping Americans lead the lives of dignity they deserve.  I urge every person in San Antonio who thinks he may be eligible to utilize the tax-filing service that VITA is providing.