IRS attempts have not effectively reached some targete

1
IRS CREDIT UNION PARTNERSHIP INITIATIVES
2
American Assets..

• Over 10 million families are unbanked
• 50 of unbanked households are headed by persons
  under age 45
• 33 have no or negative financial assets
• Comprises 46.9 of all children
• One out of three have no retirement savings
• 78 of college students have at least one
• credit card

3
Outreach Efforts

• VITA
• 32 continuous years
• 4880 sites nationally
• Free tax prep service
• Free tax software
• E-filed returns
• Expedited refund
• CTC
• Partially refundable in 2001
• 1,000 each qualifying child

• EITC
• Refundable Tax Credit
• Supplements Wages
• Lifted 4.7 million
• Over 20 million taxpayers
• 36 billion received

4
Building Assets Involves

• Financial Education
• Credit Counseling
• Checking/Saving
• Home Ownership
• IDAs
• ASSETS

5
Why is the IRS interested ?

• Ensure all eligible families receive tax benefits
  for which they are entitled
• IRS attempts have not effectively reached some
  targeted audiences
• To overcome the fear mistrust of the government
• Immigrant workers do not understand the role of
  the IRS
• Information tailored to local needs is more
  effective
• Shared mission to assist working families

6
Solution..
Communities Helping Communities Through IRS Partn
ership Model
Awareness and Education
AssetBuilding
Community- Based Organization
TaxPreparation
7
PARTNERING A REWARDING CHALLENGE
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Partnering Efforts.

• Advertise distribute EITC materials
• Host a VITA site or provide space for one
• Provide space for financial education training
• Encourage employees to volunteer at site or
  instruct financial education training
• Arrange for on-site credit counseling
• Donate excess computers, paper, office supplies
  for operation of VITA site

9
More Partnering Efforts..

• Accept direct deposit of EITC refund
• Waive fees offer low/no cost savings accounts
• Provide staff at VITA site to discuss benefits of
  financial services
• Establish an IDA Program or hold accounts
• Transmit tax returns as an ERO
• Provide other volunteer services based on
  available resources

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Rewards/Benefits

• Credit Unions
• Strengthen community resources relationship
• Achieve Org. Goals
• Serving the Underserved
• Membership
• Retention/Increase
• Increase Deposits
• Expand services for members

• Members
• Financial Education
• Access to tax info
• Free Tax Prep
• Free Tax Forms
• Expedited Refund
• Asset Vehicle

11
NCUA Technical Assistance Grants

• 50,000 IDAs
• 75,000 VITA
• 100,000 Serving the Underserved
• 100,000 Officers/Staff Training
• 150,000 Financial Education
• 150,000 Home Ownership
• 150,000 Enhanced Technology

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For More Information

• Contact the
• IRS
• via e-mail at
• partner_at_irs.gov
• Credit Unions located in PR
• should contact
• Digna Davila at 787-622-7924