Taxpayers making less than $54,000 per year would have permanent access to cost-free tax preparation services under a measure led by U.S. Rep. Carlos Curbelo (R-FL) that passed the U.S. House this week as part of a package of bills to overhaul the Internal Revenue Service (IRS) for the first time in more than 20 years.
Rep. Curbelo’s Volunteer Income Tax Assistance (VITA) Permanence Act of 2017, H.R, 2901, was approved on April 17. The bill was part of the Taxpayer First Act, H.R. 5444, legislation lead sponsored by U.S. Rep. Lynn Jenkins (R-KS), chairman of the House Ways & Means Oversight Subcommittee.
“Today’s House passage of permanent authorization for the VITA program means we are one step closer to ensuring some of our most vulnerable taxpayers will always have an option for safe, accurate tax preparation and filing assistance,” said Rep. Curbelo, who also serves on the House Ways and Means Committee. “With approximately 60 percent of Miami-Dade County residents qualifying for the VITA program,” the congressman said the legislation is a top priority.
House Ways and Means Committee Chairman Kevin Brady (R-TX) said the package of bills will help the IRS improve its service while limiting its enforcement powers to prevent abuse.
“These bipartisan bills are the result of nearly a dozen hearings and roundtables, countless briefings and meetings, and close work with stakeholders over the course of the last two years,” Brady said. “I want to thank all of our Members for their tireless work on these bills, especially Oversight Chairman Lynn Jenkins (R-KS) and Oversight Ranking Member John Lewis (D-GA), Rep. Erik Paulsen (R-MN), Rep. Mike Kelly (R-PA), Rep. Jim Renacci (R-OH), Rep. George Holding (R-NC), Rep. Carlos Curbelo (R-FL), and Rep. Mike Bishop (R-MI).”
Rep. Curbelo’s H.R. 2901 would direct the IRS to establish a permanent Community VITA Matching Grant Program, which could receive up to $30 million in allocations per fiscal year. Individuals earning less than $54,000 per year, and those with limited proficiency speaking English, qualify for support under the program. The congressman introduced the bill in June 2017 with U.S. Rep. Danny Davis (D-IL).
“At our mobile office hours with VITA preparers across South Florida, we’ve seen first-hand how critical the VITA program is to helping taxpayers receive all they are entitled to,” Rep. Curbelo said.
Given that every federal dollar invested in the VITA program is matched by the private sector, Rep. Davis said it’s a “prime example of smart federal investment.”
In addition to leading legislative efforts to permanently extend the VITA program, Rep. Curbelo led a bipartisan group of 55 lawmakers in March 2017 in calling on the U.S. House Appropriations Subcommittee on Financial Services and General Government to provide adequate funding in fiscal year 2018 for VITA and other programs supporting low-income taxpayers. “The number of tax returns prepared by the VITA program increased 100 percent between the 2014 (1.9 million) and 2016 (3.8 million) tax filing seasons,” the letter from the lawmakers noted.
Other bills designed to revamp the IRS that passed the House this week include the 21st Century IRS Act, H.R. 5445, introduced by Rep. Bishop, and H.R. 5439 from Rep. Renacci, a bill that would create a single point of contact at the IRS for victims of tax-related identity theft. Also approved was a bill led by Rep. Paulsen, H.R. 5437, to create a program for the issuance of identity protection personal identification numbers, and Rep. Kelly’s H.R. 5443, which would require electronic filing of annual returns of exempt organizations and make them available to the public.
“At a time when Americans are increasingly frustrated by government and the apparent inability to get things done for the country, these bills are a welcome reminder that there are issues that unite both sides of the aisle and we can get things done that improve the lives of every American,” Rep. Jenkins said.