• Facebook
  • Pinterest
  • Twitter
  • Linkedin

Milwaukee Neighborhood News Service

Your neighborhood. Your News.

newsMilwaukee NNSMilwaukee NNSSearch
Subscribe to NNS today!
Advertisement
  • Home
  • News
    • Arts and Recreation
    • Community
    • Economic Development
    • Education
    • Health and Wellness
    • Housing
    • Public Safety
    • NNS Spotlight
    • Special Report
  • Posts From Community
    • Submit a Story
  • Community Voices
  • How To
  • Multimedia
    • NNS Local Video
    • Photos
    • NNS on Lake Effect
    • NNS WGLB 1560 Radio
  • Subscribe
  • Donate
  • About
    • Staff
    • Partners
    • News 414
    • The neighborhoods we cover
Milwaukee Neighborhood News Service
Milwaukee Neighborhood News Service

Diederich College of Communication, Marquette University

You are here: Home / Posts from Community / Low-income tax filers face delays in income tax refunds

Low-income tax filers face delays in income tax refunds

November 10, 2016 by Social Development Commission Leave a Comment

Share this...
Share on Facebook
Facebook
Pin on Pinterest
Pinterest
Tweet about this on Twitter
Twitter
Share on LinkedIn
Linkedin

Thousands of residents are dependent on the use of an Individual Taxpayer Identification Number (ITIN), issued by the IRS, in order to file a federal tax return each year. Major changes to the ITINs will affect the ability for millions of individuals and households to file 2016 federal tax returns and receive returns before February 15. ITIN holders are those not eligible for a Social Security Card but have a filing requirement.

The need for renewal is a result of the Protecting Americans from Tax Hikes (PATH) Act of 2015 passed by Congress and signed into law.

The Protecting Americans from Tax Hikes (PATH) Act of 2015, passed by Congress and signed into law, requires that all taxpayers with an ITIN filing a federal tax return in 2017:

  • Must complete a renewal application and have a current ITIN
  • Taxpayers with ITINs that have not been used on a federal income tax return in the past three years must renew ITINs or they will not be able to file
  • Those ITINs with the middle digits 78 or 79 (xxx-78-xxxx or xxx-79xxxx) must renew their ITIN even if used in the past three years

Those claiming Earned Income Tax Credits (EITC) and/or Additional Child Tax Credit (ACTC)), are affected by PATH. A refund will not be received before February 15 by anyone that claims these tax credits. The delay puts millions of low-income households that depend on these funds in jeopardy. These households depend on refunds to, for example, become current on past due bills, purchase household needs or supplies, or for down payments to move out of uninhabitable housing. The change in the refund timeline affects filers that may to turn to predatory operations that offer high-interest loans to secure funding.

The IRS will use the delay in refunds to verify income reported on those tax returns. Employers are now required to file W-2 forms and 1099s by January 31 instead of March, which was the case in prior years.

SDC is concerned the delay could negatively low-to-mid income residents who rely on the Volunteer Income Tax Assistance (VITA) program, which is already in jeopardy. VITA provides free tax preparation for households with an annual income of $56,000 or less.

SDC has received a two-year funding commitment of $85,000 each year in support of its VITA operations. The IRS requires SDC to demonstrate community investment by securing a dollar for dollar match. There is an $85,000 shortfall. If organizations and members of the community to do donate to VITA, SDC will not be able to provide the free service to nearly 8,000 individuals and families. SDC is seeking donations ranging from $5 to tens of thousands. Those interested in making a donation to help the VITA program reach its goal, can click on the “Foundation/Donate/Donate Today/VITA” tab at www.cr-sdc.org or can contact VITA program manager Diane Robinson at 414.906.2804 or drobinson@cr-sdc.org.

For more than 50 years, the Social Development Commission has operated as the Community Action Agency for Milwaukee County. SDC serves as a planner, coordinator, and provider of human service programs for low-income individuals and families residing in Milwaukee County. The agency is an intergovernmental commission and is governed by a board of 18 citizens from Milwaukee County, each of whom hold the title of “Commissioner.” For more information on SDC’s programs and services, visit cr-sdc.org. Connect with us on Facebook www.Facebook.com/SDCMilwaukee and Twitter www.twitter.com/CRSDC.

Share this...
Share on Facebook
Facebook
Pin on Pinterest
Pinterest
Tweet about this on Twitter
Twitter
Share on LinkedIn
Linkedin

Filed Under: Posts from Community

Avatar

About Social Development Commission

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Advertisement
Advertisement

How To …

How to avoid stimulus check scams

A new round of stimulus checks will likely also bring out a new round of scams. Here’s what to watch out for.

More "How To" articles

Advertisement

Recommended Reading

A Vaccine Reality Check

The Atlantic

UWM study on the state of Black Milwaukee describes the city as ‘the epitome of a 21st century racial regime’

Milwaukee Journal Sentinel

Videos Show How Federal Officers Escalated Violence in Portland

The New York Times

These mayors want to fight Covid-19 and the recession with one big idea: A guaranteed income

Vox

The World John Lewis Helped Create

The Atlantic

News

  • Arts and Recreation
  • Economic Development
  • Education
  • Health and Wellness
  • Housing
  • Public Safety
  • NNS Spotlight
  • Special Reports
  • Multimedia
    • NNS Videos
    • Photos
    • NNS on Lake Effect Radio

Engage with us

  • Posts from Community
  • Community Voices
  • Submit a Story

About NNS

  • Staff
  • Partners
  • News414
  • The neighborhoods we cover
  • Internship opportunities
  • Careers
  • Terms of use
  • Advertise

Connect with us

  • Facebook
  • Twitter
  • Instagram
  • YouTube
  • LinkedIn
  • RSS feed

Communities

Contact

mailing address
Milwaukee Neighborhood News Service
Diederich College of Communication
Marquette University
1131 W. Wisconsin Ave.
Johnston Hall 430
Milwaukee, WI 53233

email
info@milwaukeenns.org

phone & fax
PHONE: 414.604.6397 FAX: 414.288.6494

Milwaukee Neighborhood News Service is a project of Diederich College of Communication and Marquette University.
© 2020 Milwaukee Neighborhood News Service. Terms of use.
1131 W. Wisconsin Ave., Milwaukee WI 53233 • info@milwaukeenns.org

Copyright © 2021 · News Pro Theme on Genesis Framework · WordPress · Log in