Thursday, April 14, 2005

Free Tax Service Saves Working Families Money

Letters to the Editor

Cleveland Plain Dealer

 

Ben Nichols
Cleveland

 

The description of aggressive marketing by paid tax preparers was amusing ("OK, it's taxes. Why can't it be fun?" April 5). But there can be serious problems with paid providers, and there are much better ways to get your taxes done.
 

In 2002, 98,000 working Cuyahoga County families claimed the earned income tax credit, which helps working families that earn less than $34,000. But nearly half of these families purchased refund anticipation loans from paid providers like the ones this story profiled. The average cost to prepare a tax return is $100, the average price for the loan is another $120. So, about $19 million that should have gone to low-income workers with kids went instead to paid preparers.
 

In Greater Cleveland, an exciting alternative has emerged. A vibrant coalition of volunteer tax providers offers free tax service, helps families claim their credit, and doesn't manipulate anyone into buying unnecessary, overpriced services. We've doubled the number of filers we've served between last tax season and this one, and we're poised to double our service again next year with new support from Cuyahoga County. Call First Call for Help (211 or 216-436-2000) or check www.policymattersohio.org/pdf/vita.pdf for information about free tax services available throughout the city.
 

Nichols coordinates the Cleveland EITC Coalition.

 

 

Cleveland Plain Dealer  04/14/2005

 

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