Every year, the IRS awards grants to local organizations that run Volunteer Income Tax Assistance (VITA) sites, offering free tax help to low- to moderate-income individuals with preparing tax returns. In 2011, the IRS launched a the Self-Employment Tax Center Pilot in 12 locations to provide additional tax filing assistance geared to the particular needs of self-employed individuals who run micro-business and those who own small businesses.

Typically, VITA sites have not been authorized to provide assistance for micro-business and small businesses filing Schedule C tax forms, which are often more complex to complete than tax filings for an individual household. The IRS is supporting the Corporation for Enterprise Development (CFED) and National Community Tax Coalition (NCTC) in administering the pilot. 

The 12 pilot sites provide the array of services found at typical VITA sites, but they also offer additional services such as trainings to educate clients about how to complete Schedule C tax returns. The sites educate clients about how self employment status impacts their tax liabilities, and share best practices for keeping accurate records.

Managers of the pilot sites are very enthusiastic about results from the first year.  “The Schedule C pilot has allowed us to reach a wider pool of potential VITA clients. Not only can we assist small business owners who need to file taxes in order to grow their business, we can also reach many people who otherwise would not be able to file taxes at all,” said Leonardo Covis of East Bay Asian Local Development Corp. (EBALDC), one of the 12 pilot sites.

In evaluating the program, NCTC found that the accuracy rate of Schedule C tax assistance at the pilot sites was highly encouraging.  The sites received a 94.7% accuracy rate overall from the IRS.

The pilot is continuing in 2012 with the same 12 pilot sites, several of which are AFI grantees (denoted by asterisks below). Grantees with VITA eligible participants can refer Schedule C participants to one of the following 12 organizations:

• AccountAbility - Minnesota St. Paul, MN
• Accounting Aid Society - Detroit, MI
• Campaign for Working Families - Philadelphia, PA*
• Center for Economic Progress - Chicago, IL
• East Bay Asian Local Development Corporation - Oakland, CA*
• El Paso Affordable Housing - El Paso, TX*
• Foundation Communities - Austin, TX*
• Just Harvest Education Fund - Pittsburgh, PA
• KC CASH Coalition, Inc - Kansas City, MO
• Real $ense Prosperity Campaign - Jacksonville, FL
• Rural Dynamics, Inc- Great Falls, MT*
• St. Mary's University - San Antonio, TX

The IRS, along with CFED and NCTC, has indicated that a small number of additional sites may be added this year. 

For more information, please contact Lauren Williams at lwilliams@CFED.org.

Time is running out to register for the Northeast Family Strengthening Conference, taking place in Richmond, VA on September 26–27! Register for the Conference by Monday, September 12 to secure your participation. Hotel reservations at the Richmond Marriot Hotel must also be made by September 12.  The conference will be followed immediately by an AFI Financial Literacy Academy on September 28–29. AFI grantees may apply for travel scholarships to attend both events!

2011 ACF Northeast Family Strengthening Conference

The theme for this year’s Northeast Family Strengthening Conference is “Fit for the Future: Asset-Building Strategies for Families and Communities.” Plenary sessions and workshops will highlight strategies for building financial assets and positive family relationships as the state, community and program levels. The conference is designed especially for ACF grantees and partners in Regions 1, 2 and 3, but AFI grantees are invited and welcome to attend!

AFI Financial Education Academy

The AFI Resource Center will provide a two-day Financial Education Academy on September 28-29, immediately following the conference. Attendees will choose between two learning tracks, as follows:

Level One – This track is designed for new AFI staff or individuals with less than three years of direct financial education experience. This training will focus on shaping financial education classes to resonate with your students.

Level Two – This track is designed for more experienced trainers with three or more years of direct financial education facilitation experience and those who have attended a Level One Academy. This training focuses on more advanced topics for effective teaching include applying the core concepts of behavioral economics and strategies for keeping students motivated.

Travel Scholarships are Available

The AFI Resource Center will provide travel scholarships to enable more AFI grantees and sub-grantees to take advantage of these important opportunities. Representatives of AFI grantees and sub-grantee organization are may apply for up to approximately $600 if they are attending the conference only, and up to approximately $850 if they are attending the conference and an financial education academy.

More Information and Registration

Visit the AFI Resource Center Web site 2011 Northeast Family Strengthening Conference and Financial Academies Information page or contact the resource center for more details at info@IDAresources.org or 1-866-778-6037
The NEFSC is sponsored by the Administration for Children and Families, Regions 1, 2, and 3, and the Office of Community Services.