Are you tired of paying high fees for basic tax preparation? Are you getting the refund you deserve by claiming all available tax credits for which you qualify?  Many members would have difficult questions at tax time.  To address these concerns LCCU has partnered with the IRS to offer Volunteer Income Tax Assistance (VITA) for qualified people in all branch locations. VITA is a free IRS sponsored program available to help taxpayers with a household income of $42,000 or less complete and electronically file basic tax returns.  Tax assistance will be provided by LCCU employees trained through the IRS VITA program.

VITA trained LCCU employees will be available to complete tax returns from January 16th – April 15th by appointment only.  We can file your tax return electronically, meaning you can have your refund in as little as 8-15 days. 

Why is LCCU sponsoring a free tax preparation program?   One of our primary goals is to help improve the financial lives of our members.  Unfortunately a large number of LCCU members don’t realize they qualify for free tax preparation through VITA and are paying high fees for simple tax preparation and excessive interest for refund anticipation loans.  A significant number of members also fail to claim tax credits for which they are eligible, namely the Earned Income Tax Credit (EITC).  The EITC is a refundable tax credit  for low-to-moderate income taxpayers.  Unfortunately, statistics show that as many as 25% of eligible taxpayers fail to claim the Earned Income Tax Credit.  This means LCCU members are losing millions of dollars each year in unclaimed tax credits.  If you are eligible for VITA, your Credit Union wants to help you claim the tax credits you deserve, allowing you to use these funds to help secure your financial future.

Tax Refund Express Loan

LCCU is proud to offer VITA participants the Tax Refund Express Loan, a low cost alternative to expensive Refund Anticipation Loans. With high fees and exorbitant interest rates, a traditional Refund Anticipation loan may cost you $100 or more. LCCU’s new Tax Refund Express Loan will be offered with a low interest rate of 15% APR

Only members that are using the VITA services may receive a Tax Refund Express Loan. The tax refund will be security for the loan.  The refund must be directly deposited to you share account, and the funds will be automatically withdrawn from the share account after the refund is deposited to payoff the loan. The maximum loan amount is limited to 90% of your anticipated federal income tax refund amount.

Are you eligible for Volunteer Income Tax Assistance?

Is your household income more than $42,000?

Yes. Due to your income level, you are not eligible for the VITA Program. 

No. You may be eligible for VITA preparation.  Proceed to the next question.

Will any of the following be included on your return?
• Rental income
• Farming income
• Adoption credits
• Partnership income (K-1)
• Military income
• Foreign income

Yes. You are not eligible for the VITA Program.   

No. You may be eligible.  Proceed to the next question.

If you are a self employee, will any of the following apply to you?
• Use other method different than the cash method of accounting
• Had inventory at any time during the year
• Your business had a net loss during the year
• Your business is a partnership
• Had employees during the year
• Had depreciation
• You deduct expenses for business use of their home
• Had a passive losses from the business

Yes. You are not eligible for the LCCU’s VITA Program.

No. You may be eligible. Proceed to the next question.

Did you live or work outside of the state of North Carolina in 2008?

Yes. You are not eligible for LCCU’s VITA Program. 

No. You are eligible for tax assistance!  Please contact your local branch to schedule an appointment.
Remember: we can only prepare your 2008 income taxes.

LCCU will not prepare :

* Income from states other than NC
* Sale of property, such a home or stock
* Self-employment income other that the mentioned before.
* Rental Income
* Farm income
* Military income
* Adoption Credits
* Foreign Income
* Complicated or advance Schedule D (Capital Gain and Losses)

How do I make a VITA tax preparation appointment?

LCCU will begin accepting appointments for VITA tax preparation on January 16, 2009. To make an appointment contact your local branch and request to speak with a VITA tax preparer.

What Information will I need to bring for my VITA tax preparation appointment:                                 

• Valid picture ID
• Social Security cards or Tax ID cards or letter from the IRS for yourself and all individuals on your return (spouse and dependents)
• Your 2007 tax return
• All income documents including W-2s, 1099s,and other documents
• Daycare expenses and daycare provider’s name, address, and tax ID number
• Documentation to support itemized deductions if applicable-includes mortgage loan interest paid, charitable contributions, property taxes paid (home & auto) and medical expenses.
• If you get paid in cash and do not have any 1099-MISC form, you need to complete first an Income Log & Business Expense Log ( Ask any LCCU tax preparer to provide these forms to you)
• Amount of Economic Stimulus Payment you received in 2008