people
Intuit & Earned Income Tax CreditNCSL June 27, 2011
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Intuit Proprietary & Confidential
Intuit & EITC
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improve people’s financial lives so profoundly that they cannot imagine going back to the old
way of doing things
promote financial literacy and independence among those populations who would most benefit from the assistance, especially
lower income and underserved taxpayers and small business owners
Earned Income Tax Credit
Intuit Proprietary & Confidential3
Intuit has donated more than 24.8m federal and state returns since 1998.
EITC has been called out in eligibility criteria since 2002 (TY’01)
Intuit Proprietary & Confidential4
Making it easier for taxpayers to determine if they are eligible
Intuit Proprietary & Confidential5
Intuit Proprietary & Confidential
Intuit has helped taxpayers claim EITC through Free File since 2003 (TY’02) www.freefile.irs.gov
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• Public/Private Partnership – IRS & Consortium of tax software companies
– 21 state revenue agencies & tax software companies
• Covers 70% of all taxpayers– Company can serve no more than 50%
– Income cap @ $58 K AGI for TY’10
– 10 states include EITC as eligibility criteria
• Consumer safety zone– No RALS
– No sales except for state return
– No marketing to customers
• Available mid January – mid October – Date based on when the IRS can receive e-filed returns
– TY’11 launches around January 16, 2012
Alabama
Arkansas
Arizona
Georgia
Idaho
Iowa
Kentucky
Michigan
Minnesota
Missouri
Mississippi
New York
North CarolinaNorth Dakota
Oklahoma
Oregon
Rhode Island
South Carolina
Vermont
Virginia
West Virginia
State Free File Programs*
* Modeled on IRS Free File
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IRS FAST: Free Assisted Self-Service Tax Preparation
What is FAST?
An IRS VITA /Free File Partnership
Benefits of FASTFor the Tax Prep Site
Assisting more taxpayers by screening for eligible individuals
Focusing more resources on taxpayers requiring direct assistance
Crediting of FAST return counts to your site(s)
Teaching taxpayers to fish” by empowering them to complete their return
For the Taxpayer
Expedited preparation of their return
Improved understanding of tax preparation
Added experience for filing future returns
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Intuit Proprietary & Confidential
Bringing FAST & Free File to Life in Local Communities
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Intuit Proprietary & Confidential10
Intuit Proprietary & Confidential11
How we help
Intuit Proprietary & Confidential12
How we help
Intuit Proprietary & Confidential13
Intuit Proprietary & Confidential
Savings Bond ExperienceThe dilemma: Through Intuit’s experience with taxpayers, especially the lower and moderate income filers who use
TurboTax Freedom Edition for free through the IRS Free File Alliance (www.FreeFile.IRS.gov) , we recognized that lower- and moderate-income taxpayers had few opportunities to invest in savings.
The need: Find a way to help lower- and moderate-income taxpayers save—a way that was fast, easy, secure, and affordable.
The solution: Work with D2D, other nonprofits and the federal government to make buying savings bonds accessible to all taxpayers.
Promote the savings bond option throughout all TurboTax products and in all possible communications – in product, online communities, external PR.
The results: In Tax Year 2010 …• The IRS reports 44,000 taxpayers used the opportunity to purchase a total of approximately $10.7 Million
in bonds.• More than 15,000 of those taxpayers made their purchase using Intuit’s suite of TurboTax products.
(22,480 bonds purchases) totaling $5.8M, with average bond purchase of $260)• The largest percentage of purchasers were Single /Head of Household filers with average HH income
$44K