DENVER–Mayor John Hickenlooper, City Councilwoman Elbra Wedgeworth, and members of the Denver Asset Building Coalition encourage low income Denver families to seek free tax assistance and claim the federal Earned Income Tax Credit in 2008.

“We want to ensure that struggling families take full advantage of all of the tax credits available to them,” Hickenlooper said. “This important community-wide effort aims to put more money in the pockets of taxpayers.” 

A powerful work incentive and antipoverty tool, the federal Earned Income Tax Credit (EITC) is a refundable credit offered through the Internal Revenue Service to working families that earned less than $39,783 in 2007.

It is estimated that low-income Denver residents lose an estimated $13,920,000 per year in unclaimed Earned Income Tax Credits (EITC). Additionally, many families that apply for the EITC pay someone to complete their tax forms, which can cost $175 or more and takes away from the value of the EITC. By coordinating a region-wide volunteer effort to provide free tax preparation help, the Denver Asset Building Coalition  – seeks to help taxpayers claim this money.  Taxpayers can learn more about the EITC by calling 211, the statewide hotline linking callers to health and human services resources.

The maximum income to qualify for the EITC the 2007 tax year ranges from $12,590 for a single person to $39,783 for a married couple with two or more children. The average refund is $1,600 but can be as much as $4,716. However, people often are unaware of the credit, don’t know how to apply or are intimidated by the tax return form. An estimated 15 percent of eligible taxpayers don’t receive the credit.  

“We are determined to make everyone in Denver and Colorado aware of this and other tax credits like the Child Tax Credit, Saver’s Credit and education credits,” said Mark Phillips, board President of the Denver Asset Building Coalition.  

Additional partners in this year’s campaign include: Making Connections Denver, Elitch Gardens, Qdoba, Colorado Saves, Rose Community Foundation, US Bank and the Internal Revenue Service.  

When seeking assistance at a free tax preparation location, individuals should bring the following: Social Security number cards or ITIN cards for all family members; all W-2, 1099 and/or other income forms; information for all deductions and credits if available; bank account and routing number, if seeking a direct deposit; your spouse, if filing jointly; a copy of last year’s tax return if available.