PathWays PA Policy Blog

In a preliminary budget proposal for the 2018 fiscal year budget, the House Financial Services and General Government Subcommittee revealed that it would be cutting the Volunteer Income Tax Assistance Program by 50%. In 2017 fiscal year, the VITA program received $15 million but has been reduced to only $7.5 million in 2018. The VITA program offers crucial tax preparation services to low and moderate working individual and families in some of the lowest income areas across the state. All of these services are completely volunteer based and require funding in the budget in order to continue assisting families in become financially stable. The good news is that there is still time for this decision to be reversed. Since this is only a preliminary budget proposal, nothing is definite yet and there is still a chance for you to call your legislators and let them know that you believe funding should be given to the VITA program. There is a period of time between the action currently be...

The Assets & Opportunity Scorecard enables states to compare their performance to other states and the District of Columbia on measures of financial security and household wealth. When it comes to many measures, Pennsylvania ranks right in the middle - some states are better than us, some states are worse. So what's wrong with status quo? Well, here is the impact if Pennsylvania performed as well as the best state (with thanks to the Assets & Opportunity Initiative  for putting this together):

For Immediate Release One in Five Workers is Leaving Money on the Table! PathWays PA can help workers get their taxes done for free at VITA sites throughout the region – and will be announcing a special VITA site later in the week! EITC Awareness Week Events: 1/26 – PathWays PA releases list of local VITA sites online 1/27 – PathWays PA promotes DelcoAD VITA sites online 1/28 – PathWays PA makes special announcement about VITA Supersite 1/29 – PathWays PA holds EITC Awareness Twitter Storm from 10 – 11 AM (sample tweets/images available here ) www.pathwayspa.org / pathwaysvita.com / @PathWaysPA / @PathWaysPolicy #EITC Workers can get a larger tax refund this year because of the EITC (Earned Income Tax Credit) – but one in five eligible workers don’t know about it! During EITC Awareness Week, PathWays PA will share information daily to help spread the word about the EITC and how we can help workers access the money they’ve earned. In 2015, 27.5 million workers recei...

EITC Awareness Day is next week, and you're invited to join us for a Twitter Storm to celebrate! The Earned Income Tax Credit (EITC) is a federal tax credit. It reduces or eliminates taxes for workers under a certain income, and in many cases actually gives them money back! Here's a few more facts: For the 2014 tax year 27.5 million taxpayers received about $66.7 billion in EITC  The average amount of EITC received nationwide last year was more than $2,400  EITC is for workers whose income does not exceed the following limits in tax year 2015:  $47,747 ($53,267 married filing jointly) with three or more qualifying children  $44,454 ($49,974 married filing jointly) with two qualifying children  $39,131 ($44,651 married filing jointly) with one qualifying child  $14,820 ($20,330 married filing jointly) with no qualifying children  Investment income in all cases must be $3,400 or less We'll be online sharing information from 1-2 PM on Fri...

PathWays PA will offer free tax preparation in Greater Philadelphia, Camden, and Delaware County from January 26 to April 15 2015. Schedule your appointment today! PathWays PA's Volunteer Income Tax Assistance (VITA) program has assisted thousands of people in Metro Philadelphia to file their tax returns for over 10 years. PathWays PA's IRS certified volunteer preparers can prepare your taxes at absolutely no cost to you. This will help you avoid the high fees charged by commercial preparers, saving you hundreds of dollars and enabling you to keep more of your money. Our services are available to individuals and families earning less than $53,000 per year. Learn more! Interested in PathWays PA blog posts on similar topics? 1/13/15 - Volunteer Your Time This Tax Season with PathWays PA 10/21/14 - Tax Season is Around the Corner - We Need Volunteers! 2/24/14 - Webinar on Expanding EITC March 5

PathWays PA VITA provides free tax preparation to low-moderate income filers so they can access valuable tax refunds and credits, such as the Earned Income Tax Credit. The EITC is the Federal government's largest and most successful anti-poverty tool, providing low wage workers with additional funds to supplement their wages so they can support their families and meet their basic needs. By volunteering only 3 - 4 hours a week during tax season, you alone can return over $30,000 to local working families. Last year, volunteer preparers with PathWays PA assisted more than 2,800 individuals and families in Greater Philadelphia, Delaware and Camden Counties. Together, we brought back over $4 million in tax refunds to our local communities. This year, we hope to reach more families than ever - and we need your help! No tax experience is required; free IRS-certified tax training is provided. Volunteer Roles: Tax Preparers and Quality Reviewers: Receive free training and beco...

Our VITA (Volunteer Income Tax Assistance) program provides extensive free tax preparation services and Earned Income Tax Credit (EITC) education and outreach throughout the Commonwealth of Pennsylvania, with a focus on promoting asset development and financial stability. Free tax preparation is supplemented by an extensive mobile tax program that brings these services to employer sites, community centers, public transportation sites and childcare facilities. The VITA program provides tax filers with tools and strategies that focus on using their refund to build year-round stability to achieve financial goals. To learn more about VITA, please click here or contact Maria Duncan-Prince by email or call 610-543-5022 ext. 239. Interested in PathWays PA blog posts on similar topics? 2/24/14 - Webinar on Expanding EITC March 5 2/17/14 - PathWays PA is Offering Free Tax Preparation! 6/18/14 - We Need You! Help Us Save Homeless Mothers and Children

From our friends at Tax Credits for Working Families On Wednesday, March 5, from 3:00PM-4:00PM, Tax Credits for Working Families will host an informative webinar on the details of the President's proposal to increase the federal Earned Income Tax Credit and its potential impact on low-income workers. Panelists will also discuss the proposal's prospects on Capitol Hill. Confirmed speakers include: Aviva Aron-Dine, Associate Director for Economic Policy, Office of Management and Budget Elaine Maag, Senior Research Associate, the Tax Policy Center Deborah Stein, Tax Credits for Working Families Please join. Register here .

PathWays PA's IRS certified volunteers can prepare taxes for you at no cost! The VITA program is available to individuals and families earning less than $52,000 per year. PathWays PA and our partners offer service locations in the Greater Philadelphia region, including Montgomery County, Delaware County, and Camden, NJ. To schedule an appointment and view all our tax locations, please visit our website or call (610) 543-5022 or 1(800) 209-2914. Appointments are necessary at most locations, but PathWays PA offers drop-off sites at Suburban Station and Market East Station. Visit our website for more details.

Congress is making decisions about tax reform and they have an opportunity to make working families a priority. Ask Congress not to shift more of the tax burden to parents and away from the very wealthy . They can do this by strengthening the EITC and CTC. Both tax credit programs significantly reduce the number of children living in poverty, and help working parents make ends meet and save for the future. There were significant improvements made to both of these tax credits in 2009 as part of the economic recovery package. Combined, these improved credits are currently helping 13 million households and over 26 million children. These tax credits are also stimulating our economy. Congressional focus on tax reform right now offers a key opportunity to make sure these improvements are extended permanently and no harmful cuts are made.

The Center on Budget and Policy Priorities  has examined how the EITC and CTC programs are utilized by veterans. With Congress considering overhauling the tax code this year, it’s worth noting that about one in four current or former armed forces families with children receive the Earned Income Tax Credit (EITC) and the low-income piece of the Child Tax Credit (CTC) — two key tax credits for low- and moderate-income working families. The Census and IRS numbers that our friends at CBPP examined show significant use of the tax credits by veterans. Nationally, 1.5 million military families receive one of the credits, according to our analysis of Census Bureau and Internal Revenue Service data. In about 280,000 of these families, a parent now serves in the armed forces; in the rest, a parent is a veteran. Pennsylvania alone has 48,000 veterans and armed forces families with children that receive the EITC or low-income component of the Child Tax Credit annually. ...

More than 100,000 children in PA are lifted out of poverty each year by the federal Earned Income Tax Credits and Child Tax Credits (EITC and CTC). The Earned Income Tax Credit (EITC) and the Child Tax Credit (CTC) help working families make ends meet by both rewarding work and recognizing the additional expenses of raising children. These tax credits have a strong history of bipartisan support and have been praised and expanded by Republican and Democratic administrations alike. The EITC and CTC have an incredibly beneficial impact for children, families and the economy. Protect these essential tax credits and ask that 2009 enhancements to the credits be made permanent by adding your name to our sign-on letter. Read the letter and add your name.  For more information about the 2009 enhancements and the economic impact of these credits in Pennsylvania, check out PCCY's fact sheets.

As Congress debates a plan to reduce the deficit, one thing is clear - deficit reduction should not fall on the backs of low-income working families. Yet that is exactly what happened in a budget passed by the U.S. House of Representatives on March 21. The House plan makes a number of changes to the Earned Income Tax Credit (EITC) and Child Tax Credit (CTC) that could end up costing working families billions. The EITC and CTC help working families make ends meet by both rewarding work and recognizing the additional expenses of raising children. Together, the credits bring $3.6 billion into Pennsylvania's economy each year. Nearly 900,000 families benefit from the EITC and 1.5 million from the CTC. Sign onto the letter supporting EITC. Follow "EITC Helps me" on Facebook

PathWays PA's Self Sufficiency team wants to remind you to take advantage of our free tax preparation service. Our basic tax preparation service provides free tax filing for households whose income does not exceed $51,000. We also want to reach tax filers who are disabled or who do not speak English as their first language. Our goal is help tax filers access their Earned Income and other tax credits. We are offering a number of service locations , including SEPTA's Suburban Station where you can drop off you tax forms to be done while you are at work, or you can make an appointment .

PathWays PA's Self Sufficiency team wants to remind you to take advantage of our free tax preparation service. Our basic tax preparation service provides free tax filing for households whose income does not exceed $51,000. We also want to reach tax filers who are disabled or who do not speak English as their first language. Our goal is help tax filers access their Earned Income and other tax credits. We are offering a number of service locations , including SEPTA's Suburban Station where you can drop off you tax forms to be done while you are at work, or you can make an appointment .

As many of you have heard, the "fiscal cliff" has been averted following House passage of a Senate bill to prevent large cuts in spending and large tax increases. Details of the bill are still emerging, but here is what we have seen so far: Income Tax Rates : Income tax rates will increase for single workers earning more than $400,000 and families earning more than $450,000.   Income tax rates in this bill will be considered "permanent," as opposed to the Bush tax cuts of 2001, which were considered temporary.   Payroll Taxes : Payroll taxes will increase for workers at all incomes, with the Social Security tax returning to 6.2% on a worker's first $113,700 in wages.  This tax was temporarily set at 4.2% two years ago. For a worker earning the national average of $41,000, this increase comes to about $32 more per biweekly paycheck. ( Here is our Facebook post describing payroll taxes .) Tax Credits : There will be a five year extension of the tax credits...

Federal Policy Updates  HELP SUPPORT THE CHILD TAX CREDIT AND EARNED INCOME TAX CREDIT Congressman Richard Neal is introducing a bill to continue the Child Tax Credit and the Earned Income Tax Credit in their current form for another year. In 2010, the Child Tax Credit and Earned Income Tax Credit together lifted 9.2 million people out of poverty, including 4.9 million children. The improvements now scheduled to expire kept 1.6 million of these people out of poverty. For more information, see the Center on Budget and Policy Priorities' Studies Show Earned Income Tax Credit Encourages Work and Success in School and Reduces Poverty .  Organizations that support these program are being asked to show your support. All you have to do is to send an email to one of the following people by noon, Tuesday, July 17, saying that your organization (local, state, or national in scope) can be listed in support. Email Adam at Larose@cbpp.org or Stuart at Russell@cbpp.org . St...

With just a few minutes to spare on Saturday night, Governor Corbett signed the budget for the 2012-2013 Fiscal Year, which began on Sunday, July 1.  You can find a final copy of the budget at  http://www.portal.state.pa.us/portal/server.pt/community/current_and_proposed_commonwealth_budgets/4566/ . Also, the Pennsylvania Budget and Policy Center will be holding a phone call next week to discuss the budget. Pennsylvania Budget and Policy Center Budget Phone Call July 9, 2012 10 AM Conference line: (760) 569-7676; Code: 453547 Even though the budget debate is over, there are plenty of issues to take action on. Please take a moment to make calls, write emails, and provide overall support for the issues that matter to you. Even though the budget debate is over, there is more you can take action on.  Please check out these links for more information: Elimination of General Assistance Delayed Until August 1 Outreach for the Earned Income Tax Credit Marc...

Earned Income Tax Credit outreach initiatives throughout the state, including our work at PathWays PA, are at risk of losing their funding from DPW in this fiscal year. These initiatives are not line items in the state budget, so we do not yet know the final funding determination. Over 2000 families filed returns just with PathWays PA this year, giving them access to free, IRS-certified tax services, financial literacy tools, and quick refunds without paying high interest fees. Please call your legislator to ask for their support on the Earned Income Tax Credit. You can find their contact information at  http://bit.ly/wjYINY . You can use the following language: "Outreach around the Earned Income Tax Credit, a program for working families, is at risk in the Department of Public Welfare. Will Senator/Representative X call or write to Secretary Alexander asking for the continuation of the program?" You can write a letter in support of the program or visit here to ...

By now, many of you have heard that a spending number has been set in Harrisburg for the 2012-2013 budget.  What remains to be seen is how the $27.66 billion will be spent.  Here is what we've been hearing: Rumors are that public schools and state universities will be funded at the same level as they were last year . The Educational Improvement Tax Credit may double from $75 million to $150 million. Erik Arneson, a spokesperson for Senate Majority Leader Dominic Pileggi, said the budget will return some spending to K-12 and higher education, accountability block grant funding and county human services programs, as well as some additional funding for distressed school districts . As of now, General Assistance remains zeroed out in the state budget .  At this point, it is likely that if the program is not funded, most recipients will not learn of the funding cut until they get a letter in the mail in place of their July check. The Pennsylvania Budget and Policy Cent...