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DABC Community |
dabc tax site frequently asked questions Listed below are Frequently Asked Questions and Answers you may have regarding free tax preparation at Denver Asset Building Coalition tax and financial sites:
Is the DABC tax service really free? Yes. The DABC never charges a fee to prepare a federal or State of Colorado income tax return. We also do not charge to electronically file your tax return. All services provided are free of charge if your total household income is less than $40,000 and you meet the basic DABC criteria listed on our Free Tax Supersites page. Do you offer quick or rapid refunds? Can I get my money back today? The DABC discourages the practice of quick refunds by paid preparers. You are actually not getting your refund quickly, but instead receiving a high interest loan from a bank. In certain cases, this can be as much as a 700% interest rate. Many customers lose between $200 and $500 dollars to get their "refund" within 48 hours. This is in addition to the average fee of $150 you pay to have your tax return prepared. Like many paid preparers, the DABC electronically files your tax return when possible. However, the DABC service is entirely free. The standard turnaround time for a refund is 7-10 days if you have a bank account and direct deposit your refund. If you have a paper check mailed instead, it will take on average 14-21 days. We would encourage you to wait this additional time to receive your refund. It could mean hundreds of additional dollars that you will keep in your pocket, rather than giving it to a bank for a high interest loan. This is money that will help you pay your rent, buy groceries, or better yet, save for the future. How does the DABC pay for this service if they do not charge? The DABC relies
on volunteers to provide our tax and financial services. We ask for
donations and grants from area partners and funders to provide items such as space, computers,
operational expenses,
and tax site supplies. The DABC is a nonprofit charitable organization recognized under 501(c)(3) of the Internal Revenue Service code. Donations to the DABC are tax deductible to the fullest extent of the law. The DABC will send you a letter for tax purposes verifying the receipt of your financial contribution. Can I trust the volunteer sites with my personal information? All DABC volunteers must sign disclosure and privacy agreements indicating they will not disclose any of your financial or personal information to the public. The DABC will not tolerate an exception to this policy. If it is determined that your information has been shared inappropriately, the volunteer will be immediately removed and you will be contacted if appropriate. If you are aware of an infraction regarding this policy, please contact the DABC immediately through our feedback area. What qualifications do DABC tax preparers have? All DABC volunteers are required to complete a basic tax law and e-file class, or complete this education through self-study. The DABC certifies volunteers tax law proficiency through a mandatory exam provided by the Internal Revenue Service. A volunteer may not prepare a tax return until the IRS certifies their tax law proficiency. The DABC is
proud of the quality of tax returns that are prepared at our free tax
locations. In 2007, 99% of our tax returns were deemed
mathematically correct. What are the hours and location for the DABC Tax SuperSites? The DABC Tax SuperSites hours and locations may change from year to year. Please visit our Free Tax SuperSites page for current site hours and site locations. No appointment is necessary at any of the DABC Tax SuperSites between January and April. Assistance is offered on a first-come, first-served basis. Appointments are required between May and October. The sites are not open in November or December. What documents do I need to have my tax return prepared?
The documents you will
need depend on your personal and financial situation each
year. The DABC has developed a
site document checklist to help you determine the
different types of information you should gather.
We recommend that you print this list and review it
carefully before having your return prepared. One
of the most common errors at a tax site are missing W-2s
(wage and earning statements from an employer).
Please remember that you should not have your return
prepared until you have received all of the documents
that you are required to report. What is an Individual Taxpayer Identification Number (ITIN)? Do I need one? If you are unable to obtain a valid Social Security Number from the Social Security Administration, you must get an Individual Taxpayer Identification Number (ITIN) from the IRS to file your tax return. To obtain an ITIN, you must first complete a current year federal tax return. DABC sites can assist you with this process in March only. You will then take the completed return to an IRS Walk-In Office for completion of a Form W-7, Application for Individual Taxpayer Identification Number. You are required to bring certain identification documents with you, along with a copy of a completed federal return. The IRS will process your application and verify your documents, and then forward this information for processing. Assuming there are no problems with your documents, your ITIN(s) will be mailed to you in a letter from the IRS in approximately six weeks. You will continue to use this ITIN to file a federal return until you can obtain a valid Social Security Number. Please keep in mind that ITINs may only be used to file a federal tax return. ITINs may not be used for any other purpose, such as opening a bank account or obtaining a drivers license. What happens to my return after it is completed? The DABC encourages electronic filing of tax returns when possible. If we are able to send your return electronically, we will generally do this within 1-5 business days after your return is prepared. If your return is accepted, we will not contact you. You may check on the status of your federal return by calling the IRS at 1-800-829-1040. To check on the status of your State of Colorado return, please call (303) 238-7378. If we have a problem with your tax return, we generally will send you a letter asking you to come back to the site to correct the problem. The letter will indicate what you need to bring with you. Please bring the letter along with any requested documents back to your original DABC tax site as soon as possible so we may get your tax return filed. If, for some reason, we must have you file a paper tax return, we will send you with copies to sign and mail to both the IRS and State of Colorado. The DABC cannot pay for postage or mail a paper tax return for you. After leaving a DABC site, it will become your responsibility to file on or before April 15th. How can I check the status of my refund?
To check on the status of your federal tax
refund, you may call the IRS refund hotline at 1-800-829-1954. You
will need your Social Security Number, Filing Status, and refund amount
when you call. You may also check your federal refund status
online. To determine when to expect your federal refund, please review the IRS Refund Cycle Chart. State of Colorado refunds are generally received within one week after the federal refund date. To check on the status of your State of Colorado refund, please call (303) 238-7378. I owe on my tax return, how do I make a payment? Please pay in full what you owe on or before April 15th to avoid penalties and interest. If you a making a payment to the IRS, please make the check or money order payable to the "Department of Treasury." If you are making a payment to the State of Colorado, please make your payment payable to "Colorado Department of Revenue." Indicate on the face of your federal/state payment your social security number and the tax year you are making a payment for (such as 2005). Mail federal (IRS) payments to: Internal
Revenue Service Mail State of Colorado payments to: Department of
Revenue Payment for federal taxes owed may also be made by credit card. For additional information, or to pay by credit card, please visit Official Payments online. I owe on my tax return and cannot afford to pay what I owe. What should I do? One of the most frequent mistakes customers make is not filing a tax return when they owe. Even if you cannot afford to pay, please file your tax return on or before April 15th. If your return has been electronically filed by the DABC, or you have mailed a paper return to the IRS, please contact the IRS immediately by telephone at 1-800-829-1040. You will need a copy of the return that has been filed by the DABC when you call. Indicate to the phone assistor that you have filed, but cannot afford to pay. The IRS will work with you to negotiate a monthly payment, or help defer your taxes owed until you can afford to make payments. The DABC has created a Balance Due Information Packet that will assist you with different payment options when you owe taxes to the IRS or State of Colorado. The State of Colorado can also assist you with payment options. After working with the IRS, please contact the Colorado Department of Revenue at (303) 238-7378 if you have a tax liability that you cannot afford to pay. I received a letter that my return was rejected by the IRS. What should I do? About 18% of all electronically filed tax returns reject in the United States. The DABC tax sites take careful steps to try and avoid this problem. In 2007, the DABC reject rate was less than 10%. If you receive a letter from a DABC site indicating your return has rejected, please read it carefully. The letter will indicate what you need to provide when returning to your tax site to correct the problem. Please bring the letter along with any documents requested as soon as possible. When returning to the site, you should bring your spouse if you have filed a joint return. When making corrections, we may need you (and your spouse, if married) to resign documents.
The most common reason a return is rejected
by the IRS is for incorrect Social Security Numbers and names not matching
official records. If you receive a letter with this type of reject,
please bring copies of a Social Security card for the individual(s) listed
in your letter with you when you return to the site. If you do not
have the actual Social Security card(s), please contact the Social
Security Administration at Please remember that your return has not been filed until it is accepted by the IRS and State of Colorado. If you are unclear as to why your return rejected, you may call the IRS at 1-800-829-1040 for an explanation. I need help with an out of state tax return. Can the DABC help me? Due to the complexity of individual state tax laws, the DABC can only prepare full-year and part-year State of Colorado tax returns. Please visit TaxSites.com online for links to every state website for additional assistance and tax forms. Does the DABC prepare prior year tax returns? The DABC Tax
SuperSites will prepare prior year returns up to three years back.
Prior year returns will only be completed in March and after April (not in
January, February, or April). Prior
year returns must be mailed, and cannot be electronically filed. You
must have a copy of all of your income documents and deductions for the
prior year you are filing. If you need to obtain the income
documents, please contact the IRS at 1-800-829-1040. You will also
need to contact the state in which you worked to get copies of state
withholding on your income. For a list of state revenue phone
numbers, please visit
TaxSites.com. Please view our Free Tax SuperSites page for additional information. Does the DABC prepare amended or corrected tax returns? The DABC Tax SuperSites will prepare amended or corrected returns up to three years back. Generally, amended returns will only be completed in March and after April (not in January, February, or April) unless we have made a mistake on your current year tax return. Amended returns must be mailed, and cannot be electronically filed. You must bring a copy of the originally filed federal and state tax return, along with any documents you need to amend with you. If you need a copy of the original federal return that was filed, please contact the IRS at 1-800-829-1040. If you need a copy of a state return filed, please visit TaxSites.com for a complete list of state revenue phone numbers to obtain a copy. The DABC Tax SuperSites can only prepare amended federal and State of Colorado returns. An amended
return, once filed, generally takes 12-16 weeks for processing. If
you are expecting a refund, please allow this timeframe to receive your
check. How can I thank a volunteer or site that assisted me with my return? Many DABC volunteers work 4-20 hours every week to prepare free tax returns. If you would like to thank them for their hard work and dedication, please visit our feedback area to send them your comments. You may also make a tax deductible donation to honor the volunteers of the DABC by contributing through PayPal online. Or, you may mail your personal check or money order to:
Denver Asset Building Coalition
Donations received will be used to honor all
volunteers at our annual volunteer recognition ceremony, purchase tax site
supplies, and support the development of marketing and educational
material for our programs.
I visited a free tax site last year. Do you have a copy of my return? No. The IRS requires that we only maintain copies of your tax return through December 31 of each year. After this date, all tax returns are shredded. If you need to obtain a copy of your federal return, please call the IRS at 1-800-829-1040. If you need a copy of your State of Colorado return, please call (303) 238-7378. I have some tax questions, does the DABC have a number I can call? The DABC
does not have a public telephone number for tax assistance or general
inquiries. If you have a question about your federal return,
please call the IRS at I need help with a return prepared by the DABC. Now the tax site is closed. What should I do? Please contact the IRS at 1-800-829-1040 or the State of Colorado at (303) 238-7378. Both agencies can assist you with any questions or problems you may have with your tax return. |
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