Publication 5089-A — Financial Institutions

Official source: IRS Forms, Instructions & Publications (https://www.irs.gov/pub/irs-pdf/p5089a.pdf), retrieved 2026-10-03. U.S. Government work (17 U.S.C. § 105).

Using Volunteer Income Tax Assistance – VITA to serve the community

Wage & Investment

STAKEHOLDER PARTNERSHIPS, EDUCATION & COMMUNICATION

THE NEED FOR VITA IN YOUR COMMUNITY

Every year, approximately 90 million low-income taxpayers file a tax return and many spend hundreds of dollars to have their returns prepared or to purchase tax preparation software. As the graph below indicates, a very small percentage of lowincome taxpayers utilize free tax preparation services.

2017 National

HELP YOUR CLIENTS GET A BIGGER TAX REFUND WITH EITC

Through VITA, volunteers can make sure taxpayers receive all the credits for which they are eligible. For example, the Earned Income Tax Credit (EIC) is a credit for certain people who work and have earned income that meet the EIC income requirements. The EIC is a refundable tax credit, which means it reduces the amount of tax owed and may give a refund.

WHAT IS VITA?

Volunteer Income Tax Assistance (VITA) is an Internal Revenue Service (IRS)-sponsored program that provides free tax filing assistance using IRS-certified volunteers. The VITA program offers free tax help to individuals with low-to-moderate income, persons with disabilities, elderly and limited Englishspeaking taxpayers. VITA also offers access to free tax preparation software for those who are able to prepare their own tax returns.

Local financial institution VITA partners help their community in many ways:

Promote free tax preparation services to clients and employees
Encourage employees to volunteer to prepare tax returns at local volunteer sites
Host a free tax preparation site
Place a link to free tax preparation software on their website allowing clients to prepare their own tax returns at no cost

Workers must file a tax return to get the EIC even if their income is below the filing requirement. To qualify, workers must have taxable income from wages or self-employment.

EIC is one of the nation’s largest anti-poverty programs. Approximately 25 million persons receive nearly $60 billion in EIC refunds each year.
4 out of 5 people eligible for the credit claim it.
EIC lifted an estimated 6.6 million people out of poverty; 3.3 million are children,

QUALITY IS #1 FOR VITA

Volunteers are certified in tax law
Volunteers are provided tools and reference materials to ensure completion of an accurate tax return
Volunteers have access to a toll-free number to assist with tax preparation
Security, privacy and confidentiality are required for all taxpayer information

TOP REASONS WHY FINANCIAL INSTITUTIONS SUPPORT VITA

Helps clients save and build net worth
Educates clients on financial products and services
Attracts new clients
Differentiates your financial institution from other local financial institutions
Puts tax refund dollars back into the community

Publication 5089-A (Rev. 7-2024) Catalog Number 74888Y Department of the Treasury Internal Revenue Service www.irs.gov

FINANCIAL EDUCATION & ASSET BUILDING

Tax time provides unique opportunities to connect individuals and families to financial education and asset building (FEAB) programs.
Debit cards & checking/savings accounts can be offered on-site to clients to provide faster, safer access to tax refunds.

WHAT ROLE DO FINANCIAL INSTITUTIONS PLAY WITH VITA?

Outreach Help distribute VITA materials to clients and networks – post a blurb about available VITA services in the financial institution newsletter or include VITA information/services in monthly statements.

Virtual Filing Ideal for financial institutions that cannot provide VITA services at their location. The financial institution can partner with an existing free tax preparation site to offer VITA to its clients. Usually this involves providing space where tax documents can be dropped off and secured before forwarding to the tax preparation site.

Facilitated Self Assistance These free, online, secure tax-preparation websites where clients answer simple questions, prepare and e-file their tax return.

VITA Host a free tax preparation site at your financial institution for your clients and others in the community.

HOW DOES THE IRS SUPPORT VITA PARTNERS?

Free tax preparation software
Free training materials
Free on-line tax law training
Support from an IRS relationship manager
Introduction to local VITA partners and coalitions

For further details about the VITA program and VITA sites in your area, contact your local IRS SPEC manager at partner@irs.gov

Or access the following link for valuable information: www.irs.gov/Individuals/Become-an-IRS-Partner-to-Help-in- Your-Community