Thursday, February 14, 2013

Helping Survivors Prepare for the 2013 Tax Season


Tax season is upon us! As an advocate, one way you can assist survivors in improving their financial management skills is to make sure they are aware of the tax benefits and tax assistance available to them. With the 2013 Tax Season underway, the Partnership has gathered several tools to help you assist survivors in preparing their taxes. This tax season will be a little different from last year’s due to several changes in the law (American Tax Relief Act of 2012), but here are a couple things you should know:
  • The deadline for filing taxes is April 15, 2013 
  • The tax season started LATE this year – tax law changes enacted by Congress at the beginning of January delayed the tax season by one week – so you may have to wait until March to file certain forms 
  • There is tax relief for disaster survivors of flooding, earthquakes, wildfires, and hurricanes, including last year's Hurricane Sandy. Tax relief can include some of the following help:  
    • Additional time to file your taxes 
    • Additional time to pay your taxes
  • Quick tax returns for losses related to disasters There is a new process to file for an Individual Taxpayer Identification Number (ITIN). These are issued to people who want to file their taxes but do not have a social security number.
  • Scams and fraud are rampant this year, especially with phishing emails from fraudsters pretending to be the IRS. Find out how to help survivors protect their information
Tax Credits:
Each year, tax credits are available to low and moderate-income families. Changes in the law this year, have made some of these credits even more valuable. These family credits  include the Earned Income Tax Credit (EITC), the Child Tax Credit and the Child and Dependent Care Tax Credit.   
  • Up to $5,891 from the federal Earned Income Tax Credit.
  • Up to $1,000 per child from the federal Child Tax Credit.
  • Up to $2,100 from the federal Child and Dependent Care Tax Credit.
Free Tax Preparation:
The IRS sponsors two free tax-preparation services:  Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE). These services may be available in your community for low-and moderate income families and tax filers over age 60. To locate a VITA site near you, call the IRS’ free hotline at 1-800-906-9887. You can also visit http://irs.treasury.gov/freetaxprep.

Additional Tools
·         Family Tax Credits Fact Sheet

Webinars

Other resources

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