TAXPAYERS ELIGIBLE FOR EITC BUT NOT ENROLLED
USE OF PAID TAX PREPARATION SERVICES
- From Tax Policy Center – Most people fill out their tax returns with assistance from paid preparers. In 2010, 56.8 percent of all returns were completed this way. That proportion is slightly lower for lower-income families: 54.5 percent for returns with adjusted gross incomes below $30,000 (table 1). A very small proportion of low-income families reported using Volunteer Income Tax Assistance clinics.
- From Progressive Policy Institute – National tax preparer chains continue to target EITC filers by locating in areas where the largest numbers of EITC claims are made. Zip codes with the highest level of EITC filers have approximately 75 percent more tax preparers, formally referred to as Electronic Return Originators or EROs, per filer than moderate EITC zip codes. Large tax preparer chains tend to cluster in high-EITC zip codes.
- National Society of Accountants – In 2020, the average cost of tax preparation: $220
CALIFORNIA INFO
- Understanding Take-Up Of The Earned Income Tax Credit Among Californians With Low Income
- Key finding: Lower likelihood of federal EITC receipt among those eligible and filing taxes was associated with being younger, not speaking English, and not having prior knowledge of the EITC. Lower likelihood of CalEITC receipt among those eligible and filing taxes was associated with not speaking English.
- Key finding: Lower likelihood of federal EITC receipt among those eligible and filing taxes was associated with being younger, not speaking English, and not having prior knowledge of the EITC. Lower likelihood of CalEITC receipt among those eligible and filing taxes was associated with not speaking English.
- CAL EITC take up rates report, Public Policy Institute of California