Feb 27, 2006- Seniors and Working Families; Eligibility for the Earned Income Tax Credit "Refund"

February 27, 2006

TOLEDO,OHIO-- Congresswoman Marcy Kaptur (OH-9) reminded working families today at the MargaretHuntCommunity Centerthat they may be eligible for a credit "refund" on their taxes through theEarned Income Tax Credit. Kaptur pointed out where local Volunteer IncomeTax Assistance (VITA) sites are available to provide free taxpreparations. The Margaret Hunt Community Centeris a VITA site.

"So many ofour citizens work hard but still can't pay skyrocketing bills for such basicsas food, and medicine, gasoline and utilities," said Kaptur. "Check tosee if you are eligible for the earned income tax credit through the InternalRevenue Service to return to you some of your hard-earned dollars to meet thecost of living."

The earnedincome tax credit, or EITC, was created by Congress in 1975 to assist workingfamilies. It's a refundable credit, which means taxpayers can usethe credit of up to $4,400 to offset any taxes they owe and still get a cashrefund for the excess.

"If yourhousehold earned between one dollar and thirty-five thousand dollars this pastyear, you may qualify for this valuable credit," said Kaptur. "Calltoday. You've earned it."

The VITAProgram offers free tax help for low-to moderate-income (approximately $38,000)people who cannot prepare their own tax returns. Volunteers, sponsored byvarious organizations, receive training to help prepare basic tax returns incommunities across the country. VITA sites are generally located at communityand neighborhood centers, libraries, schools, shopping malls, and other convenientlocations. Some locations also offer free electronic filing. According tothe Internal Revenue Service, each year millions of people who qualify for thiscredit do not apply for it.

The maximumcredits are $4,400 for taxpayers with two or more children, $2,662 for thosewith one child and $399 for those with no children. The qualifying incomelimits vary by the size of the family: $35,263 for a parent with two ormore children, or $37,263 for those who are married and filing joint returns; $31,030for a parent with one child, or $33,030 for those married and filing jointly;$11,750 for a person with no children, or $13,750 for those married and filingjointly.

During the2004 tax year, there were 766,126 recipients of the earned income tax credit inOhiowho received a total credit of $1,362,184,717. Nationally, 21.1 millionpeople received the credit totaling $39 billion.

Families canobtain free help from IRS operators during business hours by calling1-800-829-1040. Please call Congresswoman Kaptur's office for additionalassistance at 1-800-964-4699 or (419) 259-7500.

FactSheet:

Items to bring to theVITA Sites to have tax returns prepared:

Must bring photo identification
Social Security Cards for the Taxpayer, their spouse and dependents, if applicable
Birth Dates for primary, secondary and dependents on the tax return
Current year's tax package if they received one
Wage and earning statement(s) Form W-2, W-2G, 1099-R, from all employers
Interest and dividend statements from banks (Forms 1099)
A copy of last year's Federal and State returns if available
Bank Routing Numbers and Account Numbers for Direct Deposit
Other relevant information about income and expenses
- Total Amount Paid for Day Care
- Day Care providers Identifying number
To file taxes electronically on a married filing joint tax return, both spouses must be present to sign the required forms.