Earned income credit provides tax for the poor

Earned income credit provides tax for the poor:   WATSONVILLE-if you're one of the more than 20,000 families in Santa Cruz County making less than $ 50,000 per year, Uncle Sam can have a nice surprise for you at tax time.

Federal Earned Income through the Tax Credit, can benefit from a rebate of up to $ 5,751-although no taxes were withheld from your pay in 2011.

Some low-income individuals can claim the credit too, and if you need help to understand that all out, free tax preparation assistance is available.

That was the message from representatives of non-profit organizations and the IRS wanted to go out with a presentation at the Watsonville certified farmers market on Friday.

"Five people who qualify across the nation, only four indication (credit)," said Raul Polo, a tax specialist with the IRS. "That's why we are out trying to reach the maximum."

The credit, the anti-poverty program, the nation's largest, is designed to improve the finances of poor workers.

Jan Shirchild Scout nonprofit project, which provides free tax preparation assistance to low-income persons and senior citizens, said that works. He said last year, has helped a woman who lived in his pickup truck and was separated from her daughter because of living arrangement. She had a line on a flat, but has not had the first and last month's rent for the deposit. His earned income credit gave the money she needed to rent the place and reunite her family.

It is good for the community, too, as repayments are normally spent maintaining open enterprises and persons employed, Shirchild said.

"It makes a huge difference," he said.

The average credit received last year by the residents for the County was $ 1,600.

Jenna Grambort, a lawyer with the Watsonville Law Center, advised against the use of professional editors that apply tax fees for a service available for free and sometimes persuade taxpayers to take what is known as an "instant refund", but is essentially a high-interest loan. A better plan, he said, is to go to a volunteer tax preparer-which must pass certification tests themselves as professionals-and file electronically. Refunds are generally seven to 10 days, he said.