Public benefits
Claim tax credits
Keisha has not filed in 2 years and does not know she is owed tax credits.
Keisha. Keisha works two part-time jobs and has a young daughter. She has not filed a tax return in two years because she thought she earned too little to need to. She does not know she may be owed the Earned Income Tax Credit and the Child Tax Credit.
- Legal outcome they want
- Keisha files her returns and receives the credits she is entitled to.
- Life outcome they want
- Keisha's family can cover childcare, car repairs, and the next emergency.
The problem
People with low incomes may not file a tax return because they believe they earn too little to need to. In doing so they can miss the Earned Income Tax Credit, the Child Tax Credit, and other refundable credits that can be worth thousands of dollars to a family with children. Free tax help exists, and it can have limited hours and long waits.
The legal outcome
The legal outcome is filed returns, including past years where the law allows, and receipt of every credit the household qualifies for. Getting there requires gathering income records, proof of where a child lived, and identity documents, and sometimes answering IRS questions about eligibility. Credits for past years can be claimed only within a limited window.
The life outcome
The life outcome is money for car repairs, childcare, and an emergency cushion, which can keep a household stable through the next setback. How could people who qualify learn that they do, file without paying fees, and claim the credits they missed in past years?
One story of how this service works today
Where this story ends todayMany eligible families never claim the credits, or claim only part of them.
- Community, family, or navigatorCoworkers say low earners do not need to file
- Off-the-shelf techSees ads for paid tax preparation with fees
- Specialized techFree filing software asks questions she cannot answer
- Non-expert helperThe volunteer tax site has a long wait list
- Expert helperA low-income taxpayer clinic handles past years
- The personFiles the current year only and misses past credits
Where people drop offPeople believe they do not need to file, and free help fills up early in the season.
A dashed step is one where people drop out of this story.
This is one story of how the service works today. It is a draft written for people to react to and change, and another place will look different.