Friday is Earned Income Tax Credit (EITC) Awareness day. The EITC is a refundable tax credit for low income workers that can not only help cover the taxpayer’s federal tax liability, but can turn it into a tax benefit. In 2009, this tax benefit was shown to increase a qualified person’s yearly income by 17-25%. The median income of EITC recipients was between $10,000 and $15,000 for 2009.
It is important for people to be aware of this tax credit to help maximize the return in Michigan’s rural communities, because studies show that most EITC recipients will spend their money in their community on durable goods.
The Statewide EITC Coalition is doing just that, working to let people know where they can get their taxes done at VITA (Volunteer Income Tax Assistance) Sites that will help qualified taxpayers claim the credit.
A statewide list of VITA sites can be found here: Copy of VITA-TCE Sites-2011.
The Coalition also has a listing of EITC Awareness Day events around the state. Activities at the various events include free tax prep and personal finance and budgeting assistance as well as snacks and prizes.
Our partner, the Community Economic Development Association of Michigan (CEDAM) is hosting their own event called “Show Me the Money Day” Saturday January 29th at the Capital Area District Library in downtown Lansing from 10am to 4pm.