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Tuesday, September 17, 2024

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TX League of Women Voters participates in National Voter Registration Day; Trump's golf outings have long concerned Secret Service; Palm Beach County schools tackle post-pandemic chronic absenteeism; College students press Israeli divestment campaign as the school year begins.

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Washington considers the need to tone down anti-Trump rhetoric. Senate Democrats are likely to force a second vote on a national right to in-vitro fertilization, and Trump allies repeat falsehoods about migrants amid bomb threats in OH.

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Rural voters weigh competing visions about agriculture's future ahead of the Presidential election, counties where economic growth has lagged in rural America are booming post-pandemic, and farmers get financial help to protect their land's natural habitat.

VA Gov. Youngkin urged to implement IRS Direct File

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Monday, July 29, 2024   

Virginia advocates and lawmakers want Gov. Glenn Youngkin to allow a direct income tax filing option.

The Internal Revenue Service's Direct File program is a free online tool, which uses interview-style questions to help guarantee people claim all the tax breaks for which they are eligible. Backers of the pilot program want Gov. Youngkin to opt in.

Jay Speer, CEO of the Virginia Poverty Law Center, said other online options cost too much for some people.

"A lot of low-income people in Virginia go to tax preparers who are often located in low-income neighborhoods, pay a whole lot of money to fill out the tax forms for them," Speer observed. "They don't have extra money to pay for tax preparation."

He noted the companies are supposed to offer a free filing option, but it is often hidden or disguised. More than half of taxpayers nationwide can file at no cost, but fewer than 3% have done so. Studies showed Direct File can save Virginians more than $208 million a year in filing fees, and cut around 78 hours off their tax-filing time. Gov. Youngkin has indicated he is following the program and looking into the implications it might have.

A University of Chicago-Harris/AP-NORC poll found two-thirds of Americans believe they pay too much in taxes with too little benefit. Research shows there is truth to it, as some companies hire unenrolled tax preparers who lack qualifications and expertise in tax rules and policy. Speer pointed out people sometimes need their tax refund badly enough to use one of the services.

"They go to these places because they want to get it quickly. They don't think they can do it themselves, which they probably could," Speer contended. "There are these online programs but you know, you may not have good bandwidth where you live, and it may be hard for you to use the programs."

Studies have shown low-income people with children spend up to 22% of their refund at local tax preparation outlets. The cost to file a single return could be more than $500.

Disclosure: The Virginia Poverty Law Center contributes to our fund for reporting on Civil Rights, Housing/Homelessness, Poverty Issues, and Social Justice. If you would like to help support news in the public interest, click here.


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