Each year, North Carolina workers lose more than $200 million, up to $5,949 per family, because they fail to claim their Earned Income Tax Credit (EITC). The EITC can be a vital tool in helping people save for education and training, pay for transportation, start a small business or finance a home. Because most of the money would be spent locally, the state annually loses $250 million that could boost the economy of the most disadvantaged communities.
This statewide resource network helped working families reclaim and keep their earnings. MDC supported community partners with marketing and training. Our partners provided: free tax return preparation in 26 under-resourced counties of North Carolina and South Carolina; helped with claiming benefits such as the EITC and the Child Tax Credit; asseted building opportunities such as savings accounts and Individual Development Accounts; and the education of state and local policymakers about a larger assets agenda as a key tool to increase economic stability and community prosperity.
- To insure that eligible workers and families claim valuable tax credits
- To expand free tax preparation sites
- To help families pay down debt and build savings
- To support state policies that lead to family economic stability
- Helped workers access close to $75 million in federal refunds and almost $30 million of EITC, and saved taxpayers roughly $15 million in preparation fees
- Between 2006 and 2010, the number of clients who accessed the services doubled, to more than 20,000
- Lobbied as part of coalition to implement and then keep a state credit for working families and state support for free tax preparation programs