Elyssa Sullivan, 6th Ward resident is working as a community development social worker with the Gateway Earned Income Tax Community Coalition. Below is a letter she wrote to my office about the need for residents to be aware of a tax credit that many families may qualify.
A Tax Credit that can Really Help Your Budget this Year! The Earned Income Tax Credit (EITC) is a federal tax credit that can give you a bigger refund. The IRS estimates that 1 in 4 eligible individuals or families who should be receiving this tax benefit, which results in a larger refund, are not. Last year in St. Louis, there were $30 million dollars that went unclaimed by area residents. The maximum benefit for 2007 is $4,716. Many of those who do not claim this tax benefit simply are not aware that it exists, or do not realize that they qualify. . Grandparents who have custody of grandchildren may also claim the credit, along with relatives keeping children while parents are serving overseas. A person may qualify for the EITC if that person is your child, stepchild, foster child, brother, sister, stepbrother, stepsister, grandchild, niece, nephew, etc. who lives with you and is supported by you. To receive this tax refund, you must file taxes. Even if you don’t earn much and don’t owe taxes, you have to file the taxes to get the cash refund. There are many sites in St. Louis where you can get free tax preparation assistance from trained individuals if your family income is less than about $40,000. The best way to find out where those sites are, and what hours they are available, is to call the United Way central assistance number at 211 or (800) 427-4626. They maintain a comprehensive list of all free tax assistance sites in the St. Louis area. Also, please keep in mind that paying to have your taxes prepared at a commercial office will result in a smaller refund due to the high fees they subtract from your refund. Most of the free sites file the tax information electronically, and you will receive a quick return which can even be deposited directly into your checking or savings account.
