Increased Support for Low-Income Taxpayer Clinics
This act boosts funding and expands the scope of clinics assisting low-income individuals with tax matters. This means more citizens will have access to free legal aid for tax-related issues, potentially simplifying their tax filings and resolving IRS problems. The changes aim to improve access to tax justice for the less affluent.
Key points
Increases the maximum aggregate grant for taxpayer clinics from $6 million to $20 million annually.
Raises the annual grant limit for a single clinic from $100,000 to $500,000, allowing them to serve more people.
Clinics can now assist individuals earning up to 400% of the federal poverty line, up from 250%, broadening eligibility.
Introduces a 10% cap on general overhead and administrative costs to ensure more funds directly benefit taxpayers.
Requires matching funds from clinics (waived for the first two years), which can be lowered by the Secretary to expand coverage.
Expired
Additional Information
Print number: 117_HR_9677
Sponsor: Rep. Davis, Danny K. [D-IL-7]
Process start date: 2022-12-22