VITA
programs present a low-cost,
high-impact outreach opportunity
Provide financial assistance to your existing and potential credit
union members by partnering with the Internal Revenue Service’s
(IRS) Volunteer Income Tax Assistance (VITA) Program. By doing so,
you’ll be putting into practice credit unions’ fundamental
principles of People Helping People and providing a core
personal finance service.
The VITA Program offers free tax help to low- to moderate-income
(generally annual incomes of $40,000 and below) people who cannot
prepare their own tax returns. The VITA Program is a safe
financial alternative to high-cost tax preparers and organizations
engaging in predatory practices like the Refund Anticipation Loans
(RALs). According to Policy Matters Ohio, tax preparation and RALs
cost Ohio families 1/6 of their tax return, which results in at
least $100 million a year.
Credit unions can partner with the IRS to host VITA Program sites
at their locations, or staff members can receive free
certification training to help prepare basic tax returns. The
level and intensity of the training is appropriate for the issues
VITA volunteers address while preparing a tax return. Depending
upon their level of certification, volunteers are taught to
correctly identify filing status, and to prepare returns with
wages, tips, interest, dividends, unearned income, Social Security
and retirement income, and self-employed income for Schedule C-EZ.
In 2007, the Ohio Credit Union Foundation awarded two outreach
grants for VITA programs. Steel Valley Federal Credit Union
partnered with the Association of Community Organizations for
Reform Now (ACORN) to offer the free tax service to qualified
residents in Cleveland and Warren. The credit union provided the
facilities and advertised the service through the local newspaper
and radio stations. ACORN provided the qualified tax preparers and
outreach workers, who informed and connected eligible individuals
with social services to help them further stretch their dollars.
ACORN is the third-largest VITA partner nationally, and the
organization has a rich history of providing low- and
moderate-income families with the resources needed to build
stronger communities.
The Summit Chapter partnered with the Akron Earned Income Tax
Credit (EITC) Coalition’s to provide an 800-number for the
Volunteer Income Tax Assistance (VITA) sites. Residents were able
to call the 800-number 24 hours a day, seven days a week to
schedule appointments or to volunteer to provide assistance at the
VITA sites. Certified volunteers sponsored by various
organizations received training to help prepare basic tax returns
in communities across the country.
Helping low-income community residents complete their tax returns
through a VITA site is just one of many ways credit unions can
give back to their members and communities. “From financial
education to home ownership programs for low-income Americans,
credit unions remain dedicated to helping people in honor of the
movement’s philosophy,” said Laura Busque, Outreach Manager for
the Ohio Credit Union League. “The VITA Program is a perfect
complement to credit unions’ current and ever-expanding outreach
efforts.”
The VITA Program is supported by Cuyahoga County EITC Coalition,
Franklin County ETC, Make Work Pay (Cincinnati), and Summit County
Action. Credit unions interested in serving as a VITA site in 2009
can receive grant funds from the Ohio Credit Union Foundation
(OCUF). Federally-chartered, low-income designated credit unions
can receive grant funds from the National Credit Union
Administration to host VITA sites.
For
more information about applying for an OCUF outreach grant,
contact Laura Busque at (800) 486-2917 or
lbusque@ohiocul.org or visit the first link below. To learn
more about NCUA grantmaking opportunities visit the second link
below.
www.OhioCreditUnionFoundation.org
www.ncua.gov |
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