Low-income taxpayer assistance program issues annual report

Low-income taxpayer clinics represented 19,513 taxpayers dealing with a federal tax problem in 2019, according to the latest report from the IRS Low-Income Taxpayer Clinic Program Office, and gave advice to 16,595 taxpayers.

The clinics helped taxpayers secure more than $4.7 million in refunds, and decreased or corrected over $123 million in tax liabilities. They also brought more than 4,200 taxpayers back into payment compliance, according to the IRS, which awards matching grants of up to $100,000 per year to qualifying organizations.

LITCs represent individuals whose incomes are below a certain level and need to resolve such problems with the IRS as audits, appeals and collection disputes. They provide services for free or for a small fee and receive IRS grants, but work independently of the service. More than two-thirds of the LITC volunteers were CPAs, Enrolled Agents or attorneys.

The IRS also announced the 131 recipients of the $11.6 million in matching grants being made to low-income clinics for 2020.